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SESSIONAL PAPER NO. 1 OF 2011 NINTH PARLIAMENT OF GUYANA UNDER THE CONSTITUTION OF GUYANA
FIRST SESSION 2006 – 2011
Honourable Dr. Ashni Kumar Singh, M.P. Minister of Finance
January 17, 2011
Balance of Payments D. Developments in Wages F. Introduction Global Economic Developments Domestic Macroeconomic Developments A.TABLE OF CONTENTS 1. Air and River Transport c. Fiscal Position a. Energy. Hydrometeorology f. Sectoral Developments and the Agenda 2011 A. Real Gross Domestic Product B. 2. Debt Management and Aid Effectiveness 4. Education 1 6 8 8 8 10 12 12 12 13 13 13 14 14 14 15 15 18 18 20 20 20 21 21 22 22 22 24 25 26 27 28 28 30 31 31 32 33 35 35 i . Prices and Income a. Investments in our People a. Modernising the Traditional Sectors i Sugar ii Rice iii Bauxite iv Gold b. Power Generation and Supply D. Sea and River Defence d. 3. Roads and Bridges b. Sectoral Performance C. Drainage and Irrigation e. The Low Carbon Development Strategy B. Inflation Rate b. Physical Infrastructure for Transformation a. Transforming the Economy a. Exchange Rate d. Public Enterprises G. Central Government c. Non-Financial Public Sector b. Interest Rate c. Monetary and Other Financial Sector Developments E. New and Emerging Sectors i Agriculture diversification ii Information and Communications Technology iii Tourism iv Small Business v Oil Exploration C.
Sanitation f. Housing d.Women and Single Parents iv. Indigenous Communities vii. Public safety and security b. Health c. Public Assistance B. Measures A. Old Age Pensions C. Youth iii. Strengthening Public Administration and Accountability d. Foreign Relation G. Other Institutional Reforms a. Governance e. Vulnerable Groups and Other Targeted Interventions i. Elderly v. Targets for the Non-Financial Public Sector a. Children ii. Real Gross Domestic Product a. Targets for 2011 A. Agriculture b. Corporate Tax Rate 60 60 60 60 61 ii . Enhancing Security and Justice a. Modernising Justice Administration F. Personal Income Tax D. Homeless vi.b. Improving the Business Environment c. EU / CARIFORUM Economic Partnership Agreement 5. Summary Operations of the Public Enterprises c. Other Vulnerable Communities E. Operations of the Non-Financial Public Sector 37 39 41 42 43 43 43 44 45 45 45 46 46 46 48 49 50 50 51 52 53 55 56 56 56 57 57 58 58 58 58 59 59 6. Balance of Payments D. Monetary Policy and Inflation C. Services B. Financial Sector Reforms b. Central Government Operations b. Water e. Industry c.
Central Government Financial Operations 4. Conclusion Appendices 1. Balance of Payments Analytic Summary 6. Actual and Projected External Debt Stock 62 64 65 66 67 68 69 70 iii .(A) Gross Domestic Product at 1988 Prices by Industrial Origin 2.(B) Gross Domestic Product at 2006 Prices by Industrial Origin 3.7. Urban Consumer Price Index (including Georgetown) 5. Selected – Socio Economic Indicators 2.
In absolutely every facet of the national development and transformation agenda. with our focus sharply aimed at implementing the policies. while the percentage of Central Government expenditure financed with our own domestic revenues has been increased from 60 percent to 81 percent. This commitment formed the basis of our contract with the People of Guyana. Speaker.1.5 This strong and sustained macroeconomic performance has encouraged. the Guyanese economy is larger than ever before with gross domestic product (GDP) now measured at $453 billion. 1. 1.2 Mr. the progress and the prospects are there for all to see. the current PPP/Civic Government entered this Ninth Parliament of Guyana with a clarity of purpose that was defined in our Manifesto promise to deliver a Brighter Future For All Guyanese. fortified with the steadfastness of commitment that distinguished our preceding terms of office. and is simultaneously demonstrative of. and was further reinforced by His Excellency the President’s Inaugural Address at the opening of this Parliament.4 Today. promises have been delivered. External debt has been reduced from 72 percent to 47 percent and the fiscal deficit from 7. and the future is brighter for our country than ever before. all over the past four years. Speaker. in so doing. we are confident in our declaration that much has been achieved.2 percent to 4 percent of GDP. I rise to move the motion for the approval of the Estimates of the Public Sector and the Budget for the Financial Year 2011 and. We have since been guided by the vision outlined therein.3 Standing as we do in the fifth year since then. programmes and projects required to realise a modern and prosperous Guyana. 1. the Cabinet has recommended that the National Assembly proceed upon this motion. 1. External reserves now stand at US$780 million compared with US$277 million at the end of 2006. and more resilient than ever before having recorded annual real growth of 4 percent on average over the past four years.1 Introduction Mr. increasing vitality from a private sector that is responsive 1 . I wish to indicate that. 1. pursuant to Article 171 Paragraph 2 of the Constitution.
and CARIFESTA X. Speaker. Foreign direct investment has totalled US$692 million. during the current term of office our Government has built several new hospitals.7 In physical infrastructure. credit by the commercial banks to the private sector grew at an average annual rate of more than 15 percent. 1.to the favourable policy environment established by our Government. trained hundreds of doctors and other health care professionals who are now deployed throughout the country. the completion and opening of the Takutu Bridge through a strategic alliance with our Brazilian neighbours. and launched nationwide school feeding and school uniform programmes. a total of 946 new companies were registered. 1.5 percent over the past four years. and the Racquet Centre at Non Pariel. 1. waged an unprecedented war against such social ills as domestic violence. and launched national single parent and foster care programmes that target assistance to the most vulnerable in our society. we completed construction of the National Stadium at Providence.8 In the social sector. cohosted Cricket World Cup 2007. repaving of the New Amsterdam to Moleson Creek highway. We have also revamped the legislative protections afforded to women and children.6 Mr.9 In sports and culture. the Swimming Pool at Liliendaal. and taxes paid on business profits increased by 65. and are replicated in a plethora of other examples of promises delivered. these impressive macroeconomic achievements of the current term of office build on the already outstanding track record of our previous terms. ICC World Twenty-20. completion of the four lane highway from Houston to Providence. and upgrading of thousands of community roads throughout the length and breadth of our country. established thousands of new school places in order to ensure that all our young people have access to the education system. the past four years have seen the completion and opening of the long-awaited Berbice River Bridge under a truly historic public private partnership. and launched the Guyana Classics. 2 . 1.
13 Mr. and updated our law volumes under the prescribed law revision process. and a Champion of the Earth by the United Nations Environment Programme. we successfully defended Guyana’s maritime boundary with Suriname before the Arbitral Tribunal established under the United Nations Convention on the Law of the Sea. who have already disbursed US$30 million of payments for forest services to the trustees of the pioneering Guyana REDD+ Investment Fund (GRIF) which we have established. chaired CARICOM and the Boards of Governors of the International Monetary Fund and the World Bank. and in so doing bore ample testimony to the resilience we have built conscientiously over the years. we constructed a new family court. 1. legislated the introduction of judicial review and concluded new High Court rules.1. but we are neither to conclude that these results were easy to achieve. 1.14 In achieving the results reported. hosted and chaired the 2007 Commonwealth Finance Ministers Meeting. 1. 3 . our President has been named a Hero of the Environment by Time Magazine. these are but some of the innumerable examples of the progress and accomplishments we have made as a country since the commencement of this Ninth Parliament. the 2007 Rio Summit and the 2011 Summit of the Heads of Government of the Union of South American Nations (UNASUR). enacted legislation to govern alternative dispute resolution. 1. Speaker. While our economy may have withstood the consequences of these external developments.11 In international affairs and diplomacy. circumstances which are still to be unwound completely and from which many around the world still reel. including Norway.12 On the environment. we have travailed the most perilous global and regional economic crises in living memory. our country is now recognised as a global leader on climate change and particularly on the role of avoided deforestation in the fight against climate change. there are some unmistakeable lessons to be learnt. We have developed and are implementing a visionary Low Carbon Development Strategy in alliance with international partners.10 In the justice sector. and we now hold the presidency of that important hemispheric Union. nor to think that our work is complete.
1. and it is these truly transformative initiatives that will secure that tomorrow for us in a manner that sees us realising the long celebrated potential of our country. we are resolute about ensuring that the transformation already underway proceeds forthwith and uninterruptedly to materialise in its fullness. The progress has been real. At no other time like the present. With this aim in mind. to generate development benefit in a manner compatible with the soundest of environmental responsibility. young and old. Speaker. has there been more tangible and visible evidence of our country’s transformation to a modern one. Equally. This is the reason we are so driven to convert our country to full reliance on clean and renewable sources of energy. never before in our country’s history has the prospect of achieving national prosperity been 4 . our vast tropical rainforest asset. This is the motivation for our untiring efforts to bring information and communication technology to every home.17 This is the inspiration that drives this PPP/Civic Government to harness the most valuable non-human endowment of our country. 1. and to develop a capacity to generate energy that will put issues of reliability and affordability to rest once and for all. tomorrow’s Guyana. 1. confront the vagaries of a trade and international financial system distinguished by its unhelpfulness to the cause of development.18 Mr. Nothing less will assure us that the individual and collective aspirations of our People are realised. and unleash the creative energies and productive efforts of all of our people to their maximum potential. and overcome the inherent structural vulnerabilities of smallness. this fifth budget of the current PPP/Civic Government therefore comes at a most interesting and exciting juncture in our country’s history.16 No less is required. reduce poverty to a minimum. if we are to reduce our susceptibility to external shocks. and to equip every Guyanese person.15 Foremost amongst these is that we must be unrelenting in our quest to build an economy that is unshakingly and lastingly equipped to withstand the realities of global interconnectedness. with the ability to put that technology into productive use. 1. These are the initiatives that form the bedrock of our vision for a modern and prosperous Guyana. and it has been rapid.
19 Mr. 1. Speaker. against the backdrop of that which has already been achieved. 5 . and they are within our collective national reach.more evidently attainable. and ever mindful of that which will be achieved with collective steadfastness to the path embarked upon. The opportunities are many. this year’s Budget is presented under the theme Together – Building Tomorrow’s Guyana – Today.
4 percent reflecting a turnaround from the decline of 11 percent recorded in the previous year. The Euro depreciated by 7.7 percent respectively.2 That having been said. 2.6 percent.5 percent to US$1. the case for fiscal consolidation in the face of a severe debt crisis in many large and systemically important economies. recent developments reflect tentative signs of recovery in the global economy. with world market food.1 percent respectively in 2010. Speaker. Gold rose by 22. on the other hand. metal. the global economic outlook remains uncertain for a number of reasons. 2. Given the potential for continued public debt problems and possible implications for economic growth. reflecting the effects of sovereign debt crisis in some member states. in the coming year. This was perhaps most evident in the Euro area. Growth in the emerging and developing economies is estimated at 7. Despite the steady upward price drift which is expected to continue. This expansion resulted from a 2.391 per 6 . which grew by an estimated 1.7 percent in 2010.3 Developments in global commodity markets were reflective of the emergent recovery. Growth in Brazil is estimated at 7.6 percent contraction recorded in 2009. and fuel commodity price indices rising by 26. and increases in taxes. world trade volumes are estimated to have grown by 11. with attendant uncertainties for countries with trading ties and other interests in the European Union.8 percent in 2010 in contrast with the 0. Consistent with a global recovery.1 Global Economic Developments Mr. and resultant sharp adjustment measures including withdrawal of previous stimulus interventions.2. cuts in government spending.8 percent against the US Dollar in 2010. with real growth in global output estimated at 4. led by China and India with growth of 10. and 20.7 percent growth in the advanced economies driven by a strong rebound in some Asian economies. there was relative unevenness across commodities.8 percent.5 and 9. 2. making it one of the fastest growing economies in the world in 2010. even if at a moderated pace. 29. it is likely that the value of the Euro will continue to fluctuate in 2011. The recovery in the United States is continuing but remains moderate as a result of private consumption remaining subdued. Principal amongst these is the tension between the case for expansionary policies to boost lagging demand and secure the recovery on the one hand and.5 percent.1 percent.
continued difficulties faced by key industries such as bauxite and the international business sector. 2. the prospects for commodity producers appear positive. compounded by limited availability of fiscal space to accommodate countercyclicality. while emerging and developing economies are estimated to grow more rapidly at 6. On balance. underlying which is projected growth of 2. World trade volumes are projected to continue to increase by 7 percent. 2.4 percent to US$537 per tonne. 7 .5 Closer home.2 percent in the advanced economies.ounce.4 Mr. the Caribbean economies are estimated to have recorded marginal growth of 0. Speaker. significant downside risks remain.4 percent.31 per pound. and wheat rose by 48.5 percent in 2010 and are projected to grow by 2. global output is projected to increase by 4.8 percent to US$307 per tonne. rice declined by 11. although the impact of rising oil prices is likely to dampen this outlook for the oil importers amongst them.8 percent to US$0.357 per tonne. against this background.2 percent in 2011. aluminium rose by 8 percent to US$2. and much of the global recovery will depend on the balance achieved by advanced economies and large emerging economies between accelerating growth in the immediate term and achieving fiscal sustainability into the medium term. the fallout from the Clico and Stanford debacles which are still to be resolved in most jurisdictions. sugar rose by 24.2 percent in 2011. This reflects the slow pace of recovery in the tourism sector with many destinations still to resume previous levels of activity. Nevertheless.
862 tonnes.3 percent in 2010. This outcome reflected a protraction of the challenges confronting the industry. 3.3. 3. and the need for greater improvements in managerial efficiency and effectiveness.4 Contrastingly. 3. there was every expectation that the favourable results anticipated from implementation of the turnaround plan for the sugar industry would start to manifest themselves. these results remain elusive. B.3 Sectoral Performance Mr. and the industry ended the year with final production of 220. when sectoral targets were outlined. despite the uncertainties of the prevailing global and regional context. A. Instead.2 Real GDP expanded by 3. 3. the Guyanese economy recorded a most creditable performance in 2010. 5. the fifth consecutive year of positive growth.1 Domestic Macroeconomic Developments Real Gross Domestic Product Mr. Of significant note is the fact that the expansion in output achieved in recent years has relied less on the traditional sectors and increasingly on new and emerging sectors. Speaker. with less than favourable weather conditions. at the time of Budget 2010. with the nonsugar economy growing by 4. performance in the rice sector was expected to moderate given the exceptional level of output in the preceding year. at the time of the Budget last year. providing further evidence of the returns that can be had from sound policies and sustained implementation. and causing 2010 to displace 2009 as the year in which the industry produced its second highest output since rice production commenced and its highest output in over a decade.5 percent lower than in 2009. the industry continued its stellar performance. ending 2010 at 360.4 percent growth in value added over the previous year. Speaker.6 percent. The projected increase in output was premised on expansion in acreage under cultivation and gains being made in productivity. This increased production was as a 8 . Disappointingly. complicated industrial relations.996 tonnes representing 0.
On the other hand.4 percent growth.082. lumber.5 percent. buoyed by lucrative world market conditions and substantial investment in the sector. 3. This was mainly as a result of an unanticipated shortfall in poultry production during the first half of the year.438 ounces. driven primarily by an expansion of 2 percent in the output of light manufacturing industries.1 percent in 2010. sawnwood.3 percent overall. Speaker. 3.8 percent contraction in value added. the bauxite industry ended the year with total production of 1. as harvesting activity accelerated as the year progressed. beverages. 3. 9 . a performance which reflects the effectiveness of Government’s Grow More Food Campaign and the fact that this programme has now matured and has built its own momentum.9 percent to 308. and plywood. The sector recorded modest growth of 1. The fishing sector also rebounded in the second half to end with 7.5 The other crops sector grew by 2.9 percent.8 The manufacturing sector grew by 0. and extended harvesting of paddy into late December. 3.6 The management of the forestry sector continues to occupy some prominence especially in view of Guyana’s policy initiatives under the Low Carbon Development Strategy (LCDS).4 percent for the year. on the other hand.result of weather conditions that on balance proved favourable to the industry’s production cycle. The livestock sector.7 Mr. the mining and quarrying sector as a whole contracted by 6. reflecting increased production of logs. gold declarations increased by 2. This result reflected continued tight external market conditions along with the fact that the industry commenced the year with a substantial accumulation of inventory. As a result. representing a 9. even though plywood production ceased towards the end of the year due to boiler damage at the plywood plant. recorded a decline in production by 1. and construction materials. exceeding the record set last year to become the highest level of gold output in any one year by our small and medium scale miners.512 tonnes. including in the areas of pharmaceuticals. which recovered somewhat but could not fully compensate during the second half of the year.
10 The transportation and storage sector recorded 6. the balance of payments reflected an overall surplus of US$90.1 million. increased bandwidth available to consumers. C. 3. and other infrastructural works. as well as by public sector investments in the construction of roads. reflecting both expanded services available from the public sector and privately owned facilities. improved coastal to interior overland transportation links.9 Mr. including as a result of investment by the sector in its branch network and in technology. the sustained housing drive facilitated by Government’s housing programme. which includes such activities as our growing tourism sector. grew by 6 percent.8 percent. This resulted from improved access to financial services.4 percent growth. and from buoyant demand from the productive and household sectors for these services. Investments by telephone companies. The wholesale and retail sector recorded growth of 10.11 The information and communication sector also maintained its robust activity of recent years and registered growth of 7 percent. The construction industry has benefitted from building projects being implemented by the industrial and commercial sectors.2 percent. 3. sea defences.13 Balance of Payments Mr.6 percent and the health and social services sector by 8. reflecting increased motor vehicle importation and registration. 10 . at end 2010. These combined to see the sector record overall growth of 10.12 The financial and insurance services sector recorded a 9. 3. 3. Speaker. and increased productive activity in the hinterland. The education sector grew by 4. The other services sector. and the impact of competition particularly as it relates to cellular services have combined to generate a continuous expansion of the sector.3 percent expansion in value added.3.4 percent. Speaker. fuelled by the growth in input levels of both consumer and intermediate goods. construction activity continued to be a major catalyst in stimulating activity in the economy.
5 percent to US$154.7 percent increase in price.18 On the capital account.2 percent to US$1. 3.8 percent decline in the average export price and lower export volume. on the strength of average export prices increasing by 78. with receipts from worker remittances increasing by 40.6 million of Special Drawing Rights by the IMF in 2009. with non-fuel intermediate goods increasing by 24. Export proceeds from gold grew by 23 percent to US$346.4 percent. export earnings expanded by 16. In addition.8 million. reflecting a 26.5 percent. on account of a 9.6 percent to US$239 million.8 million. exceeding last year’s record level of reserves.4.15 Merchandise imports expanded by 20.3 percent to US$367.3 percent and 12. On the other hand export receipts from sugar suffered a 13.19 As a result of the overall balance of payments surplus.6 million in export receipts. reflecting both volume and price increases in the case of most commodities.2 percent respectively. 3. the capital account registered a surplus of US$325. The bauxite sector generated US$114.16 Net current transfers expanded by 23.417.7 percent to US$370. outweighing the contraction in export volume.3.7 million.14 On the current account. 11 . foreign direct investment increased by 20.9 percent increase in export volume to 336. other imports also increased by 16 percent.1 percent increase in average export prices.7 percent to US$198 million. Rice export earnings expanded by 35.313 tonnes coupled with a 5. 3. Largely on account of the increased foreign direct investment. mainly attributable to a 28. while capital goods and consumption items increased by 12. and notwithstanding the non-recurring nature of the allocation of US$108.17 Taken together. 3.9 million.6 million. This was driven primarily by a 32. these developments resulted in the current account deficit widening by 3.8 percent increase in the value of imported fuel and lubricants. the Bank of Guyana increased its external reserves position to US$780 million at the end of 2010.2 percent decline to US$104 million.8 million compared with US$454 million in 2009. 3.1 percent to US$891.
20 Monetary and Other Financial Sector Developments Mr. the resolution of the Guyana chapter of the regional Clico debacle came a few steps closer as the Court granted the application to liquidate the company and appointed the Governor of the Bank of Guyana as the liquidator.3 billion.1 billion. monetary policy continues to be geared towards maintaining price and exchange rate stability while promoting private sector credit. To date. E.5 percent. Since then. a 32. Government continued to apply concessional excise tax rates on fuel products. 3. 12 . with the change in the consumer price index at the end of the year amounting to 4.22 Inflation Rate Mr. Judicial and other action will continue to be pursued in order to realise the remainder of the company’s assets.D. these were rarely for any sustained period. Speaker. inflation continued to be contained to modest levels through 2010. thereby helping to contain the pass through of upward movement in world market oil prices. Prices and Income a.8 percent expansion in the agriculture sector.6 billion to fund immediate payouts to holders of investment annuity policies and undisputed insurance liabilities subject to a maximum of $30 million per policyholder. The liquidator having been appointed. 3. Credit by the banking system to the private sector grew in 2010 by 19 percent to $112.8 and 24 percent respective increase in the distribution and real estate sectors. attributed to a 71. and increases in some months were countervailed by decreases in subsequent months.567 policyholders have visited and uplifted cheques totalling $3. Government announced and provided an injection of $3.21 Elsewhere in the financial sector. followed by a 28. 4. While there were increases in some categories of food items at times during the year. and steps taken to discharge the balance of its liabilities. 3.7 percent increase in other manufacturing and a 24. Speaker. policyholders have been written to and invited to visit the company on appointment.5 percent increase in credit to the mining and quarry sector.
Speaker. by 0. d. parliamentarians. while the small savings rate declined somewhat more moderately by 12 basis points to 2.134. and Government pensioners were granted a 5 percent increase in their pensions. Government regards multiyear agreements as the preferred mechanism for achieving predictability in wages and salaries. interest rates continued to trend downwards reducing the cost of borrowing for businesses. Teachers were also paid an additional 1 percent increase in lieu of the performance incentive contemplated by their 2006-2010 multiyear agreement. which agreement has now been fully implemented. There was an adequate supply of foreign currency to meet demand and the market adjusted throughout the year. 3. 3. the weighted average lending rate declined by 22 basis points to 11.78 percent. teachers. with a total of US$5. and will continue to encourage the conclusion of such agreements with the representatives of organised labour in the future. 13 . members of the disciplined services. and constitutional officeholders were all paid a 5 percent across the board increase in salaries effective from the start of the year. against the US dollar. public servants. The 91-day Treasury bill rate which is the benchmark rate declined by 40 basis points to 3.25 Developments in Wages In 2010.95 percent. Members of the disciplined services were also paid a tax free bonus equivalent to one month’s pay. the Guyana dollar had depreciated negligibly. c.b.12 percent.24 Exchange Rate Buoyed by increases in both export receipts and import payments. At the end of the year.1 million in transactions conducted.67 percent. 3. the foreign exchange market recorded a 9.23 Interest Rate Mr.4 percent increase in activity over 2009. In 2010.
This was largely on account of continued robust performance by the private sector.1 percent increase over 2009 mainly due to a 21. reflecting Government’s continued prudent management of the public finances. Total value added tax (VAT) and excise tax collections increased somewhat more moderately by 8.2 billion or 4 percent of GDP.28 Internal revenue collections amounted to $43. b.6 million due to increased collections from gold miners. driven by all categories of imports.5 percent and 16.2 percent to $48.5 percent increase in import duties bringing collections to $8. 3.3 billion or 18 percent more than the 2009 level.9 billion of total current revenue collections.2 billion representing a 20.4 billion on account of higher reported profits.27 Central Government Central Government revenue in 2010 amounted to $108 billion. 3.F. 14 .3 billion. Non-Financial Public Sector 3.9 billion.5 percent or $470. Income tax generated from the pay-as-you-earn (PAYE) system surpassed 2009 collections by 15. 13.8 percent as all sectors of employers remitted higher levels of PAYE and as the number of employers remitting taxes also increased. Withholding taxes increased by 16. while excise tax on fuel products declined due to the lower tax rates applied.26 The fiscal deficit of the non-financial public sector was contained to $18. as a result of enhanced collections across both tax and non-tax revenue categories. while non-tax revenue collections increased by 19.8 percent over 2009. notwithstanding scaled up investment in physical and social infrastructure.9 percent respectively to $17 billion and $2.3 billion.1 percent to $6. Customs and trade taxes amounted to $9.3 percent and accounted for 93. Tax revenue increased by 13. with increases recorded on import and domestic supply VAT along with excise tax on motor vehicles. Fiscal Position a. with corporation tax and income tax from the self employed increasing by 21.6 percent or $100.
5 percent above 2009. over the year 2010.7 billion represented a reduction of 32. and increased pensions.0 billion at the end of December 2010.3.8 million by the end of 2010 as repayment of the principal owed to several creditors including Venezuela and the International Monetary Fund commenced. Speaker. principally driven by a 28.1 billion or 4. with current expenditure reflecting an increase of 7. toward the procurement and installation of an additional 15. as some projects exited the portfolio while other new ones commenced implementation.4 billion mainly as a result of a 6. We continue to use diplomatic and other efforts 15 .3 percent increase in non-interest expenditure. new disbursements of project loans were the main contributor to the 12 percent growth in the external debt stock to US$1.30 Total grants of $11. mainly on account of Guysuco’s production shortfall which had a direct impact on the financial operations of the company. External debt service payments amounted to US$28.29 Total Central Government expenditure amounted to $133. Capital expenditure remained at broadly the same level as in 2009. G. 3. other goods and services. Employment costs were driven by the developments in wages during the year along with increased employment particularly in the education and health sectors. Other goods and services increased due to Government’s commitment to expand maintenance of infrastructure combined with the delivery of expanded social services. The latter was generated by increases in employment costs.68 MW engine for the Kingston plant.6 percent when compared with 2009.7 billion as compared to the surplus of $1.3 percent reduction in project grants and a 45.31 Public Enterprises The public enterprises recorded an overall deficit of $4.2 billion in 2009. 3. c. along with increased investment expenditure of the Guyana Power and Light Inc.4 percent and totalling $86. subsidies and contributions. and transfer payments.9 percent reduction in non-project grants.32 Debt Management and Aid Effectiveness Mr. Transfer payments increased largely as a result of increased focus on training within the social sector with specific emphasis in education and health. 3.
on a sustainable path over the medium term. The most recent analyses indicate that Guyana’s external debt is. For this reason. to the principles of timely and effective delivery of aid. to support our development efforts. in recognition of the growing need to diversify the sourcing of concessional financing to support our expanding development agenda.4 percent to $100. reflecting a higher issuance of treasury bills to contain the growth in liquidity. including contracting new debt on the most favourable terms. it is worthy of mention that among some of our current partners the landscape for accessing development assistance appears to have changed dramatically. This is premised on Government continuing to engage in prudent borrowing.34 On that note. notwithstanding our robust economic performance in recent years.35 Mr.2 billion. reliability and predictability of development assistance is seriously jeopardised. The total stock of treasury bills increased by 24. down from 73 percent in 2009. and will continue. Government will spare no effort in mobilising as much development support and assistance as we possibly can from willing partners. even as we increase steadily our own ability to finance these investments.5 billion.7 percent to $93. the stock increased by 15. with the commercial banks accounting for a 70 percent share. Speaker. in the case of domestic debt.33 Mr. 3. As a consequence. 3. and at the most concessional terms available. Further. in particular. Total domestic debt 16 . mainly due to higher issuance of 364-day bills for monetary operations. 3. work will be undertaken to strengthen the capacity in working with non-traditional development partners as well as the establishment of an information database to support the analysis of aid effectiveness to our country.to reduce debts owing to bilateral non-Paris Club creditors in keeping with our Paris Club obligations. including the Millennium Development Goals. We will continue the call for a show of greater commitment on the part of the more advanced economies both to their development support undertakings and. Speaker. Guyana is still a developing country with significant developmental needs and investments to be made if we are to achieve the key goals we have set ourselves. The dislocating effect of unpredictable development assistance to the management of our economy compromises both near and medium term planning.
17 .1 percent to $4.9 billion due to higher principal payments associated with the redemption of debentures.service increased by 15.
This decision recognises the role of forest conservation and sustainable forest management in mitigating climate change. which will guide future activities in assuring financial support for adaptation and mitigation in developing countries such as Guyana.4. Government was able to further advance the LCDS and start implementation of the Guyana-Norway Agreement. At the international level. 4. at the national level. the raising of emission reduction targets by developed countries. A. and the operationalising of the administrative and financial mechanism to disburse the financing that was pledged. Guyana's leadership. and 2010 saw several key accomplishments in this regard. 4. This has been a challenging process and.3 Mr. In 2010 President Jagdeo was invited by the United Nations Secretary General to serve on a High Level Panel to examine climate financing. much to Guyana's advantage. designing this model has called upon the collective resources of all to try to adapt existing financial and other instruments to fit a model that emphasises delivery of results while at the same time meets international standards for fiduciary. in the immediate term. This Panel has just concluded its work. Speaker. The Cancun decision also establishes an adaptation framework and a technology transfer mechanism to help developing countries adapt to the adverse effects of climate change and made provisions for climate financing of up to US$30 billion by 2012. Guyana continued to be active in the negotiations under the United Nations Framework Convention on Climate Change and through which was able to help shape a new international deal with respect to REDD+ as part of the Cancun climate meeting. making these activities eligible for climate financing. advocacy and early action on climate change continues to receive international recognition and support.1 Sector Developments and the Agenda for 2011 The Low Carbon Development Strategy Mr. important progress was made with our bilateral and multilateral partners towards building an innovative model for payment for forest climate services. In 2010. Speaker. and US$100 billion annually by 2020.2 In 2011. 4. social and 18 . Guyana will continue to advocate a strengthening of the REDD+ decision to include market mechanisms for REDD financing.
equivalent to the US$70 million from these two disbursements. in 2010. Speaker. financing for small and micro-enterprise development and support to the Amerindian Development Fund to finance indigenous community projects. In the future. 2011 will see a continued thrust in moving the LCDS forward with the implementation of the first wave of projects under the strategy.6 Budget 2011 therefore provides for a total of $14. This was one of the first payments for forest climate services received by a developing country and represents a new economic opportunity for our country. the first tranche of performance-based funds. 4. we also expect to receive the second tranche disbursed by Norway. and is one which could be replicable for other forest countries. amounting to US$40 million. Speaker. Early in 2011. 19 . 4.5 Mr. Efforts will continue to advance our model of avoided deforestation and to build partnerships regionally and internationally while also seeking to broaden the range of partners to provide financial support for the LCDS. 4. the broad-based support for the LCDS from the widest cross-section of Guyanese society. These projects will have a transformational effect on our economy at the national level as well as the village level. support to the Amerindian lands demarcation process. and the important role of the broad-based Multi-Stakeholder Steering Committee which is providing oversight and guidance to the LCDS process.4 billion. leadership and negotiations at the international level will see refinement to this model until one is achieved that that is fully reflective of the principles of payment for climate services. to be expended on the transformational LCDS projects identified. Principal among them will be the provision of equity financing for the Amaila Falls Hydropower Project (AFHP).4 Mr. This historic milestone could not have been achieved without the vision of our President.environmental safeguards. approximately US$30 million was disbursed by Norway and deposited with the trustees into the GRIF. to lend further support to projects under the LCDS. it is the expectation that our advocacy. rural electrification.
In addition. cane loaders.7 Mr. poor labour turnout was reflected in a 52 percent crop attendance by cane harvesters as compared to 62 percent and 72 percent in 2009 and 2008 respectively. with the acquisition of additional mechanised harvesters. Taken together. Modernising the Traditional Sectors i. Sugar 4. hindered cane transport from field to factory. 20 . and other defects corrected. In addition. with the expectation that the factory will function at full capacity by the second crop. the process of mechanising the operations of the company will advance. these factors should enable the company to recover its production levels and restore its financial performance. and resulted in loss of sugar content.8 Looking ahead. Speaker. Guysuco is projected to incur in 2011 total capital expenditure of $4. with expanded acreage under cultivation along with higher levels of participation by private cane farmers. Other factories will be subject to heightened maintenance and key equipment replacement so as to increase efficiency of operations. Irregular weather patterns contributed to loss of cane as a result of limited availability of water irrigation at times. tractors and haulage units. Further. Transforming the Economy a. 4. This is partly reflective of structural changes in the labour market induced by alternative employment opportunities being pursued by the existing workforce. to say that 2010 was a disappointing year for the sugar sector would be an understatement of considerable proportions. the new Skeldon factory continued to be beset with challenges constraining its operation.3 billion on these and related endeavours. 1 boiler at the new Skeldon factory. In addition.B. Guysuco’s priorities are to increase cane availability. repairs will be completed to the No. Further. the Enmore packaging plant will be completed and brought into operation increasing value added output. Several factors contributed to the industry’s weak performance.
These include options in the area of mullite. Collectively the outlook for the industry remains on the upside. the evaluation of pesticides for weed. 21 . the rice sector recorded yet another exceptional year on both the production and export fronts. 4. the global market for bauxite has been showing some improvement. Speaker. 4. despite fluctuations in weather conditions. Domestically. Two seed dryers were acquired and their installation would be completed in January 2011 at the research station at Burma.9 Rice Mr. Speaker. on the rice development front. 4. plant nutrition and other agronomic practices. other investment prospects are on the horizon. Government continues to provide substantial support in the areas of improved drainage and irrigation facilities. pest and disease control and the sourcing and testing of over 300 additional rice germplasm lines for possible release as varieties in the sector.10 Mr Speaker. Thirteen drying facilities were constructed in Regions 2. This could potentially result in a US$50 million investment and discussions are ongoing.ii.11 Bauxite Mr. and a new seed facility at No. 5 and 6 in order to reduce the spoilage of paddy. 4. iii. new and improved farming practices including weed and water management.12 Mr. 4. a lower grade alumina. BCGI faced challenging mining conditions which led to reduced production. Speaker even as the industry improves. currently under the final stages of testing. two new varieties were released in 2010 and two candidate varieties. which is demanded in the refractory market. so as to ensure sustained performance by the sector going forward. will be released in 2011. 3. Meanwhile. 56 Village is planned for completion during the first quarter of this year. The latter has since invested in additional equipment that is expected to improve the production performance in 2011 while BOSAI expects continued strong performance in this year. while BOSAI experienced improved sales as a result of increased prices for their product on the market.
animal and food safety agencies. namely fruits and vegetables. This resulted in the 22 . regulations and legislation for the efficient operations of the plant. 4. agricultural diversification continues to be one of the principal pillars of our strategy to broaden the productive base of the economy. it also acts as a strong incentive for sustaining large scale exploration efforts. Speaker. As always. several functional bodies were consolidated.14 Going forward. Government stands ready to support the expansion of this important sector. b.iv. Already. 4. the economic importance of the gold mining sector continues to be significant in terms of its contribution to production. Technical assistance will be provided to small and medium scale miners to improve mining practices and increase levels of recovery. improved physical infrastructure and the upgrading and enactment of rules. measures have already been taken and investments made to provide institutional strengthening. credit facilities.13 Gold Mr. This year has seen an increase in the number of operational dredges in the sector and for the second consecutive year gold has recorded declarations above the 300.000 ounce mark. and improved environmental compliance. strengthened management of the sector will result in greater emphasis being placed on the improved recovery of gold and fine gold. Government continues to focus on the expansion of this sector with specific emphasis on the implementation of the strategic plans for the three cluster groups. In this regard. livestock and aquaculture. two potential large scale gold deposits have been identified for which feasibility studies are being undertaken. exports and employment. While the prevailing high prices augur well for the future of gold production by small and medium scale miners. In pursuit of strengthening and streamlining the sector. These large scale projects could result in substantial investments in the future. 4. capacity building. New and Emerging Sectors i.15 Agricultural diversification Mr. and infusion of new and transformative technology into the industry. Speaker.
rehabilitation of control structures and access roads at Canals Polder. Further. inspection and laboratory equipment.new National Agricultural Research and Extension Institute (NAREI) and the Guyana Livestock Development Authority (GLDA) being established. This year. 4. The Agriculture Export Diversification Programme (AEDP) credit facility will target individual farmers.500 farmers will be trained to be better equipped to contribute to the diversification effort. rehabilitation of quarantine stations. two financial facilities will be established to provide funding to benefit qualified producer groups for improvements to their farming systems and processing activities.000 farmers were trained in areas such as food processing. On the regulatory front. land clearing and preparation works. Under READ. building works and purchase of breeding animals. 4. through providing requisite infrastructure and equipment in an effort to boost value-added interventions. Government will accelerate diversification and modernisation of the agricultural sector with a budgetary allocation of $1. under the Rural Enterprise and Agricultural Development (READ) programme. 23 . as well as farmers’ associations on a larger scale.5 billion.17 In 2011. improve the business climate. 7. animal and food safety legislation and upgraded regulations for pest and disease control during import and export.18 Infrastructural works will also continue this year on the construction of a genetic bank at GLDA. a total of $1. and acquisition of refrigerated trucks and containers for the new Guyana Marketing Corporation (GMC) with the aim of boosting available supplies of non-traditional crops for the export market. the rehabilitation of the germplasm laboratory at NAREI. encourage private sector involvement and create competitiveness within this sector. feed formulation and pest and disease control.3 billion was spent to expand the non-traditional sectors. In addition. Activities included the rehabilitation of the seed facility. over 1. provision of equipment for NAREI. the germplasm laboratory and the library. and the commencement of construction of an abattoir in Region 5. 2011 will see the enactment of new plant.16 In 2010. purchase of field. 4. the facility will primarily be used for investment purposes including purchasing small farming and agroprocessing equipment.
Speaker. Further. the manner in which business is conducted and government services are delivered. For this reason. In 2010 Government committed $846. Mr.19 In addition. an additional sum of $2.22 In addition to work on the legislative aspects of the sector. we have devised a strategy that prioritises legislative change to promote a conducive and competitive environment. promoting ICT education in our schools. in which a number of investors have already indicated interest. relevant amendments to the Public Utilities Commission Act and Regulations in the areas of licensing and access. In 2011. and improving access to ICT for all our people. a similar infrastructure link is being established connecting Georgetown to Moleson Creek in the east and to Anna Regina in the west.21 Over the past year. Government will continue efforts to facilitate large scale agriculture.5 billion is budgeted for the continuation of these critical infrastructure works. 4. 4. investment in infrastructure to increase connectivity and reduce cost. ii. This network is designed to establish connectivity with Brazil and provide an alternate high speed connection to the internet. Government has also undertaken investments to address the physical infrastructure necessary for the development of the sector. The new telecommunications legislative package comprises a new Telecommunications Bill. including in the intermediate savannahs.20 Information and Communications Technology Mr. and the way in which we educate our people. substantial efforts have been expended in the completion of the drafting of the telecommunications legislative package. competition and consumer protection. the 24 . When realised. spectrum management.5 million for a 560 kilometre high speed fibre optic network spanning Lethem to Providence. pricing. 4. this Government has long recognised the capacity of the information and communications technology (ICT) sector to catalyse major transformative change in the types of jobs we create. these projects will introduce agriculture at scale previously not seen in Guyana and make Guyana a significant player in the global market for the products cultivated.4. Speaker. universal service/access.
as well as links to popular social networking websites.completion of these infrastructure links will revolutionise the effectiveness of Government service provision and lay the basis for state of the art e-Government.8 billion is provided. 2011 will see the launch of Government’s showpiece programme to improve access. 4. visitor arrivals rose in 2010 to 150. representing a 6. the One Laptop Per Family (OLPF) programme.24 With these initiatives.000 laptops distributed to families and communities across the country. Reflecting these efforts. 25 . Speaker. 4. and with several high profile entertainment events featuring regional and international headline celebrities performing to sold-out crowds at our national stadium and other venues.141. Marketing efforts have been upgraded with the substantially enhanced website of the Guyana Tourism Authority (GTA) now boasting additional information on filming in Guyana for documentary and travel journalism purposes.3 percent over the previous record high of 2009.23 Mr. with observable peaks during the April/May and July/August periods. relevant maps and charts.25 Tourism Mr. updated weather information. This programme will be implemented over the next two years and will see 90. 4. Government’s aim of making Guyana one of the most computer literate societies in the world would be advanced several steps towards being accomplished. for which a budgetary allocation of $1. These peaks coincided noticeably with the hosting of ICC World Twenty-20. iii. Speaker. vindicating the emphasis on sports and other events-based tourism. Relevant training will also be provided on use of the computers to ensure that all of the beneficiaries are able to capitalise fully on the vast advantages that derive from computer literacy. our tourism sector has been making an increasingly important contribution to the national development agenda with continued emphasis on eco-tourism and nature based tourism along with targeting special market niches.
destination awareness will be raised by facilitating high quality video documentaries made by such agencies as the Travel Channel and the British Broadcasting Corporation. over 500 single mothers from Regions 2. Speaker. The Government will continue its marketing efforts to attract increased visitors from overseas utilising social media and targeted consumer promotions. tour guides. the drafting of a small business policy is expected to further streamline management of the sector. as well as continue working towards increasing the number and reducing the cost of airline seats available into Guyana. 4. tour operators and interior lodges and resorts during the year. 3. In the area of physical infrastructure. In addition. 4. iv.4.28 In 2011. access to financing for small business owned by single parents was given a boost with the legislative provision of fiscal incentives for approved small business lending companies and the resultant establishment of the Women of Worth (WOW) programme in collaboration with one private bank. 6 and 10 have already benefitted from approved small business loans without the constraint of having to offer collateral. Enmore and Diamond. 5. Under this scheme. 4 additional market tarmacs were constructed at Waterloo. over $150 million is budgeted for the continued expansion of the tourism sector. with particular emphasis on arts and crafts and the agro-processing sectors.27 Small Business Mr. There are 4 key areas targeted by the government in its promotion of small business development: awareness and sensitisation of business 26 . the Small Business Bureau came into existence. Increased focus on quality service will be achieved through regular monitoring of tourism services in the areas of accommodation. Government will also continue to invest in supporting infrastructure. site and event development within the tourism sector.26 In 2011. and the Port Mourant market was rehabilitated. Best Klien/Pouderoyen. and business training events were held to sensitise and develop synergies in the sector. outreach sessions. 4. Government’s role in promoting entrepreneurship lies in the creation and deepening of a favourable institutional and regulatory environment for the development of small businesses. Government also updated its database of small businesses. Meetings. In addition. In June 2010 the operational arm of the Council. adding over 500 enterprises.
31 Oil Exploration Mr. 4. and Mahaica and Haslington market tarmacs for which $171 million has been allocated. 4. During 2011. Additionally. including general interest as well as sector-specific issues. Speaker.29 In 2011.development services and opportunities. there is every likelihood that Guyana will develop an oil and gas industry in the near future. small businesses will benefit from the GRIF through its support for low carbon micro and small business development. In addition. while preparations were also advanced for the construction of the multipurpose staging base at Grand Canal Berbice River in anticipation of drilling in the Corentyne Block. and training manuals and programmes will be developed and delivered in sectors such as agro-processing and apiculture. Government seeks to intensify its public outreach through development of a website. works will continue on the market tarmacs at Plaisance and Buxton. the establishment of a credit bureau under the Credit Reporting Act which was passed in 2010 is expected to dramatically improve the ease with which small businesses are able to access financing. 4. During 2010. plans advanced for drilling in the offshore Georgetown Block. as well as additional television and print media exposure. drilling commenced in the Takutu Basin. and the creation of alternative livelihoods for vulnerable groups. these activities are expected to continue. with the aim of improving the physical environment in which small businesses operate.720 female single parents are expected to be granted small business loans in 2011. and the construction of the Mahaica market. Under the WOW programme an additional 1.30 This year. v. the linkages with and multiplier benefits for other suppliers of goods and services are tremendous and are already being capitalised on. enabling physical infrastructure and improved access to financing for small businesses. education and training. Apart from the direct impact of activity in this sector. Training exercises will be extended to more businesses with a more comprehensive range of topics. Exploration activities were pursued in the shallower basin fringe of the coast in the Pomeroon and Northwest for any indications of hydrocarbons. 27 .
Works progressed in 2010 and are expected to be completed later this year which will result in the provision of access to over 18.34 Mr. 4.C.35 The sum of $1. rural and hinterland roads were rehabilitated and maintained at a cost of $4.2 million was spent to commence reconstruction of an all weather ring road in Black Bush Polder and all weather roads in East and West Canje.6 million within Regions 4 and 5 reinforcing our intra regional linkages. In addition. 4.500 acres of agricultural lands. Further the feasibility study and conceptual design were completed for the Linden to Lethem roadway. 4.1 billion. In addition.33 In 2010. Government has allocated the sum of $1. and a number of major transformative projects will commence.6 billion for the rehabilitation and improvement of the Sheriff Street 28 . Physical Infrastructure for Transformation a.32 Mr. of which $8. improve road safety and reduce transportation costs in this key agricultural zone. over 300 urban. Speaker. the continued investment in our transportation infrastructure is critical. commercial and residential zones. $7. Roads and bridges 4. as its continued expansion and modernisation play a pivotal role in supporting the economy and in improving quality of life for our citizens. in 2011 a total of $10. Speaker.9 billion was expended to improve our country’s roads and bridges network of which $5.9 billion was spent on roads and $2 billion on bridges.2 billion will be spent on roads and $1.5 kilometres of all weather roads in the Black Bush Polder area and also 19 kilometres of roads in the East and West Canje areas to promote permanent accessibility.1 billion has been budgeted for roads and bridges. Investment in the Demerara Harbour Bridge to the cost of $700. Of this amount. thereby contributing to an expansion in the interconnectivity between productive. reduce transportation costs and ease traffic congestion. $943. 2010 saw the completion of 9 critical structures amounting to $894. To further enhance urban and suburban mobility.9 billion on bridges respectively.7 billion has been budgeted this year for the completion of 34.5 million entailed the procurement of critical components.
discussions continue with interested partners regarding funding for the commencement of the construction of the long awaited Lethem to Linden roadway which would contribute significantly to the transformation of our infrastructure landscape. To this end. improved safety is an accompanying priority. street lighting and road marking are being installed in critical areas along highways in Regions 2.to Mandela road. The Amaila project also includes the building of pontoon crossings across the Essequibo and Kuribrong rivers. 4. the continuation of the four lane highway from Providence to Diamond on East Bank Demerara and complete the feasibility studies for a four lane highway from Better Hope to Golden Grove on East Coast Demerara.8 billion is budgeted to upgrade approximately 85 kilometres of existing roadway and the construction of approximately 110 kilometres of new roads from Linden to Amaila Falls. 4. In order to sustain the main linkage between Regions 3 and 4.39 Mr. rural and hinterland roads while an additional $1. 29 . Together with our eastern neighbours.37 In addition. which includes the construction of pontoons and rehabilitation of cluster piles. Speaker.38 In addition to physical upgrading of our roads and bridges network. as well as strengthening even further our ties with our Brazilian neighbours. 5 and 6. 4. access road to the Cheddi Jagan International Airport. Government has identified technical teams and completed first round discussions regarding the bridging of the physical divide at the Suriname border which would also see the strengthening of those relations. rehabilitate and maintain urban.36 A sum of $3 billion is also allocated to construct. 4. works on 16 critical structures will be completed along the East Bank and East Coast highways of which a sum of $953 million is budgeted. the sum of $550 million is budgeted for the further upgrade of the Demerara Harbour Bridge.
which will complement the other aging vessels. the sum of $173 million is budgeted for the modification of the Parika and Supenaam stellings and the construction of the Kumaka wharf. Split Barge. 4. 4. 4. Also. asphaltic works on the taxiway and apron of the CJIA airstrip were completed. Speaker.b. while the acquisition of spares and navigational aids will continue to ensure uninterrupted and reliable operations. 4. approximately $367 million was expended to further develop and upgrade the Ogle International Airport with an extended runway which now accommodates Dash 8 series aircraft.41 In 2010. to promote a fast and reliable ferry service across the major rivers and outlying areas of the country. and extension of the arrival and departure lounges with attendant air bridges. 30 . Further.43 In 2011. In addition. the sum of $178 million is allocated to commence preparatory work on designing an extension of the CJIA airstrip by 3.44 Mr.500 feet to accommodate 747-400 aircrafts. Further. Further.42 The sum of $479 million was expended on the rehabilitation of the Leguan and Bartica stellings and the docking of several vessels including the MB Barima and MV Malali. while works on Wakenaam airstrip were substantially completed. the sum of $382 million is budgeted for the docking and rehabilitation of Dredge Steve ‘N’. MB Baramani and MV Torani.40 Air and River Transport The link between the coastal and hinterland communities as well as our international partners is critical to both our social and economic development and having recognised this Government continues to allocate resources toward the expansion and maintenance of the air and river transport sector. 4. a sum of $88 million is allocated for the construction and rehabilitation of the Leguan airstrip and an additional $40 million for the maintenance of other domestic aerodromes across the country. a sum of $366 million is allocated towards the procurement of 2 roll on / roll off vessels. The 39 original aerodromes were inspected and maintained during the year. $140 million was spent to upgrade equipment at the Civil Aviation Authority.
Nos.1 billion was spent on drainage and irrigation to 31 . 4.47 In 2011.48 The advancement of the shore zone management system will continue to contribute to the achievement of a comprehensive maintenance strategy. Clonbrook. Springlands. restoration and maintenance of sea and river defence structures throughout the country to ensure the protection of our socio-economic livelihood and improve our environmental conditions on the coastland. In an attempt to minimise the negative impact. Victoria. the mangrove protection and regeneration activity would be expanded along the coastal zone in Regions 2. Lima. In 2010. Beterverwagting and Chateau Margot. Cromarty and Wellington Park.000 seedlings being planted in areas such as La Belle Alliance. 4. 4. 5. $5.6 billion was spent to further reinforce. Happy Acres. 4. The mangrove management project for sustainable coastal zone protection commenced with $100 million expended on the construction of a mangrove nursery at Mon Repos and the cultivation of over 60.c. the sum of $2.45 Sea and River Defence The critical importance of our sea and river defence can never be over emphasised in light of the imminent threat of climate change and resultant rising sea levels. reconstruction.000 mangrove seedlings at Hope Beach. 5 and 6 with an additional 200. rehabilitation. 4. Government maintained its commitment to expand the agriculture sector through improved drainage and irrigation systems. Government has continually invested in strengthening our sea and river defence management. d. 4. This project aims at providing immediate first line defence against flooding. Kitty.49 Drainage and Irrigation In an effort to adapt to the anticipated and ongoing impacts of climate change. Triumph. and Canje. 4. Riprap and concrete sea defence works were completed in areas such as Wakenaam. Government has budgeted $3 billion for the continued construction. Further. upgrade and maintain our sea and river defence infrastructure in Regions 2 to 7.46 In 2010. 6 and 7 Villages.
a further $6. as well as. Waterloo. construction and rehabilitation of sluices and revetment at De Willem. and earthworks rehabilitation at Black Bush Polder. and construction. 32 .6 billion will be invested towards the purchase of equipment. as such. Buxton. agricultural planning. To this end a sum of $24 million is allocated for the purchase of equipment. e. training. 4.50 In 2011. there will be an expansion and modernisation of the hydrological networking system along the country’s coastal and inland locations. Earthworks have also commenced at Hope outfall.52 In light of the climate change phenomenon the services provided by the hydrometeorological office have become pivotal to our decision making process. 4. and at Abary. 4. With the operation of an increased number of pumps and the construction and rehabilitation of key drainage and irrigation structures and access roads. construction and maintenance of hydrological stations. there will be an improvement in the discharge capacity and flood control performance. with the aim of improving weather and climate forecasting for aviation activities. general public awareness.conduct major capital works which included rehabilitation of control structures. in 2011. rehabilitation and operational works of the national drainage and irrigation system.51 Hydrometeorology Government continues to make progress in the hydrometeorological service by improving the meteorology and hydrological technology and information system. decision-making and disaster risk management across the country. and the launching of the National Water Information System. Moleson Creek and Alness. rehabilitation of sluice at Lonsdale as well as rehabilitation and installation of pumps at Greenfield will also be completed. Additional infrastructure works such as the construction of a drainage sluice at Cottage. Amersfoorte. which entails the construction of a new outlet channel of the East Demerara Water Conservancy (EDWC) which is expected to advance in 2011.
Major achievements under this programme included the grid network being extended to facilitate an additional 45. Kurukubaru. Speaker. reliable and affordable power to supply the needs of individual citizens and our burgeoning private sector remains an urgent priority. Cumberland. Yupukari. the generation of adequate. Government continues to make progress on the Amaila Falls Hydropower Project (AFHP).602 potential service connections with a total of 17. which is being developed as a public-private partnership using a 20 year Build Own Operate Transfer (BOOT) model.4. Stewartville. Jawalla and Paruima. Sand Creek.432 households and 4 primary schools now receiving electricity at Muritaro. The contract for the construction of the access roads was awarded in 2010. Red Hill.3 billion was spent in the power sector. Speaker. Capoey. looking ahead.53 Mr. Yarakita. Port Mourant. 53 Village. Four Miles. Power Generation and Supply Mr. 4. The hinterland communities were able to benefit with 1. 4. Santa Aratak. The year marked the end of the Unserved Areas Electrification Programme. Lusignan. Wakenaam. f.56 Other achievements over the last year include the rehabilitation of the Canfield power station. Bara Bara. the ongoing replacement of defective meters and educational campaign to reduce non-technical losses and promote demand management. the completion of the 69KV link between Skeldon and No. with the realisation of these activities. Anna Catherina. Byderabo and Amelia’s Ward. the launching of the GPL customer information system.55 In 2010 over $5. Chenaupou. The AFHP is sized at 154 MW with financing for this project of approximately US$650 million coming from 33 .324 new connections achieved in areas such as Charity. the realisation of which will ensure a more competitive private sector and a more productive citizenry. 4.54 Energy. the pursuit of power generation through renewable resources remains foremost on our development agenda. 4. Speaker. the hydrological services will be better equipped to discharge their mandate. which amounted to US$21 million over its entire life.57 Mr.
Further. Financial close is expected by the end of the second quarter of this year. communities of Port Kaituma and Mahdia will benefit from the recently completed construction of networks and the installation of generators to supply 1200 households with electricity. thus allowing the construction to start late in 2011 while the commercial operations of the AFHP is slated for 2015. respectively. 34 . GPL will also seek to further reduce technical and non-technical losses to 30.58 Mr.68 MW at a cost of approximately US$18 million would be added this year to the 20. To this end. to ensure the sustainability of these interventions.000 solar panels to homes and other critical installations in the hinterland. The AFHP is a major transformative project for Guyana that will allow a quantum shift from being a country entirely dependent on fossil fuels for electric power to one meeting its entire national requirements from clean renewable sources by 2015. an additional 15. notwithstanding the coming into operation of the AFHP. further work will be done on the conversion to heavy fuel oil at the Canefield Power and work will commence later this year on the 69KV transmission line linking Vreed-en-Hoop and Edinburgh substations.60 In addition. 4. while allocations of $15 million each has been made to the recently established Port Kaituma and Mahdia Power and Light Inc.59 During 2011.equity contributed by Sithe Global. 4. Additionally works will also see the installation of two 500kVA generating sets at Leguan and one 500kVA in Wakenaam during the second half of this year.2 million is earmarked under GRIF through the LCDS for the hinterland electrification programme which targets the distribution of 11. critical investments are needed more immediately to meet current growing energy demand. Speaker. and provide also for more efficient rotation of machinery for maintenance. This will substantially improve the reliability of power. and debt financing.7 percent through various interventions including the implementation of Phase 2 of the Georgetown frequency conversion/standardisation of a further 8 MW from 50 HZ to 60 HZ. allow us to meet peak demand with an appropriate margin of comfort. equity from Government under the Low Carbon Development Strategy.7 MW plant at Kingston. 4. an amount of US$4.
D. and quality of education.8 billion over the last year. 35 . while another $129 million was expended on the Secondary Competency Certificate Programme implemented in 18 additional secondary schools.4 billion was also expended in 2010 towards the maintenance. Additionally.61 Mr. $923 million was expended on construction works at 2 new technical institutes in Regions 3 and 5. towards which Government expended a sum of $21. with 11 more slated for completion in 2011. 4.62 Major initiatives undertaken by the Government in 2010 include the National School Feeding programme which cost over $900 million and benefited more than 63. with a strong emphasis on equipping the labour force with the skills needed in the domestic economy of tomorrow.000 students.63 Mr. along with the procurement of furniture. Another $2. Speaker. extension and construction of educational facilities throughout Guyana. rehabilitation. This vision has been articulated and guided by a series of plans in the education sector. 4. there is no investment more important than in our people and. $875 million has been expended on teacher education towards the operations and renovation works at the Cyril Potter College. a total of $24. particularly. tools. the Guyana Improving Teacher Education Project commenced in October 2010 and attracted more than 400 students who are expected to graduate in 2012 achieving their Associate Degree in Education. and equipment for all institutes. in the education of our young people. Furthermore. Education 4. Investments in our People a. Our Government’s aim is to implement effective programmes to improve access to.000 students. Mr. Additionally. Speaker. the current one being the National Education Strategic Plan 2008-2013. and the National School Uniform Assistance Programme which benefited over 200. Speaker.3 billion has been allocated towards the continued successful implementation of the National Education Strategic Plan in 2011. which added a total of 364 trained teachers to the education system in 2010. while 78 information technology laboratories were completed at primary and secondary schools.
the University of Guyana has been allocated $769 million towards the operations and maintenance of the Turkeyen and Tain campuses. geared towards mainstreaming the environment by addressing the national priorities flowing from the implementation of the LCDS. Additionally. work has commenced and will continue during 2011 on the design of a strengthen the School of Earth and Environmental Sciences at the University of Guyana as US$10 million project to a permanent academic and research institutional presence.65 Also in 2011. while another $56 million is budgeted for the operations in 2011.2 million Guyana Improving Teacher Education Project of which $200 million is budgeted for 2011.64 A major initiative being launched by the Government in 2011 lies in the harnessing of ICT to aid in the delivery of quality education. especially when it concerns the children of Guyana. the National School Feeding programme has been allocated over $1 billion and will continue to deliver a snack to every student in all nursery schools and grades 1 and 2 of primary schools. Accompanying this initiative will be the establishment of a world class Centre of Excellence for Biodiversity Studies and Research at the University. Foremost amongst the initiatives to achieve this objective is the establishment of the Educational Television Broadcasting Service. This project will seek to improve the quality and efficiency of teacher education delivery. Further. and will enable every community to access the education network within the first half of this year. while building human resources and capacity for more effective teaching and learning. 4.66 Furthermore. 4. the National 36 . Government’s commitment to support vulnerable members of society remains strong. Additionally.67 Mr. Preparatory costs of over $147 million have already been incurred. a major effort to upgrade teacher training capability will be undertaken with the commencement of the US$4.4. As such. 4. in an effort to ensure every child is afforded access to education. Speaker. whilst a further $450 million has been provided for student loans. which will see the transmission of educational programmes to all communities across the country. an additional sum of $919 million has been budgeted for teacher training towards the medium term target of achieving 70 percent trained teachers in the system by 2013.
68 Mr. 4. dormitories at Charity. along with the installation of two elevators at a cost of $38 million. and construction of science laboratories at a number of schools. Skeldon. 4. the extensions of Annai Secondary. extension and construction of educational facilities countrywide including the construction of Diamond Primary School. Speaker. and provision of tools. St Pius Primary. Speaker.69 Additionally. To this end. $2. another $1. Speaker. materials and furniture for institutes countrywide.70 Health Mr. the construction of a student dormitory at Essequibo Technical Institute.6 billion has been budgeted for technical vocational education towards the completion of construction works at the vocational centres in Regions 3 and 5. 4. rehabilitation.8 billion has been allocated for the continued maintenance. Wakenaam and Leguan hospitals. St Christopher and Albouystown Nursery Schools along with the completion of Leonora Secondary School. 4. our Government remains committed to creating a health care system which delivers quality health services to all persons. equipment. including $685 million on the first phase of the new inpatient facility at the Georgetown Public Hospital Corporation (GPHC). and will see every school child provided with one school uniform during the year. 37 . the construction and installation of a hydroclave system.School Uniform Assistance Programme will continue to be implemented in 2011. Government expended $13. the upgrade of the operating theatres at the Lethem and West Demerara hospitals and the completion of rehabilitation works at Mabaruma. allowing increasing numbers of students an alternative pathway. Kwakwani and Sand Creek. rehabilitation and maintenance of health care facilities in 2010.71 Mr.3 billion was expended for the construction. b. over $1.4 billion in 2010 towards the implementation of the National Health Sector Strategy 2008-2012.
4.75 Mr. disabled. the Medex and Community Health Worker curriculum will be revised and the training programmes strengthened. in 2011. 4. Government has taken the extra step of providing extended home-based care as a pilot in Region 6. health workers’ capacity will continue to be developed through continuing education for nurses and midwives. $14 billion has been allocated to the health sector with the aim of improving the quality of services provided. and the findings are being used to improve these sites. Additionally. combined with the expanded immunisation programme assisted in improving the standard of maternal care offered.73 Government is committed to reducing child and maternal mortality rates and has made good progress in this regard. the National Emergency Obstetric Care Assessment was completed in 52 obstetric sites and 4 neonatal hospitals. Furthermore.74 Mr. Speaker. to deliver health care as needed. pregnant women and those suffering from chronic diseases. Speaker. Speaker. while the postgraduate training programme for nurses will be expanded and a new Nurses Psychiatric Programme will be introduced. Government plans to ensure testing accessibility continues to reach every citizen in an effort to achieve universal coverage for HIV prevention.72 Mr. diagnosis. 4. 4. to vulnerable groups in the population. treatment and care before 2015. while more than 150 new health workers entered the public health sector contributing to improved doctors and nurses’ population ratio. Strident efforts such as the introduction and sustained implementation of the Basic Nutrition Programme. In addition. by continuing efforts to improve infrastructure. which enhanced the visitation of mothers to clinic. Directly Observed Treatment Short-Course (DOTS) will 38 . including the elderly. In addition.76 In 2011.4. In addition. and the delivery of the publicly guaranteed health services package. human resources. over $280 million was expended on training. which will provide for an additional 250 professional nurses being trained and 140 clinical and technical staff. while over 280 students in various health disciplines are currently in training across the various schools. Government has budgeted to inject $345 million into training activities.
further Roll Back Malaria Initiatives are planned to address preventative measures. 4. Speaker. this Government is cognisant of the value of home ownership and its nexus with reducing poverty and improving standards of living. This was all aimed at reducing the processing time and providing the opportunities for exposure to a wide array of options when acquiring a home. Furthermore.500 house lots and 3.6 billion was expended in the housing sector in 2010.79 Mr. including $150 million to commence preparatory work to design a 150 bed surgical specialty hospital which will conduct specialist surgical procedures. over $9. c. Additionally. and a new emergency ward at Fort Wellington Hospital. the first ever International Building Exposition was held in 2010 under the theme “Building Business and Communities”. while another $235 million has been budgeted for the completion of the GPHC inpatient facility. Additionally an inpatient ward at the Diamond Diagnostic Centre will be constructed. Leguan. Notable achievements included the allocation of 6. Our Government is not satisfied to only provide access to affordable housing infrastructure but has also advanced initiatives to ensure that the process of home ownership is made more efficient and accessible.591 land titles surpassing our targets of 5. facilities at Enmore Polyclinic. including invasive cardiology and radiation oncology. This represents a significant increase compared to the 2009 allocation of 4. Additionally.331 house lots as well as the distribution of 4. Continuing to support this achievement is the ‘One Stop Shop Outreach’ 39 .334 house lots and distribution of 4.257 land titles.be decentralised to the regions. West Demerara Hospital. a storage bond in Diamond will be completed in 2011. the financial institutions and the construction sector. The event stimulated the interest of and established linkages between potential and existing homeowners. Driven by this objective.78 Housing Mr. 4. 4.77 Over $1 billion has been budgeted for the construction and maintenance of health sector buildings and infrastructure nationwide. while the enablers programme will expand to Region 6. early malaria diagnosis and effective treatment.750 land titles. and Oscar Joseph District Hospitals will be upgraded. Speaker.
82 In 2011.000 persons who received on the spot house lot allocations while the online housing application attracted 312 local applicants and 42 overseas applicants. A further $680 million was spent on the construction of roads.000 land titles. Block X/Y Diamond and Amelia’s Ward and electricity was supplied at Onderneeming. Of the total allocation to the housing sector $700 million will be spent on improving the road network and water distribution systems in areas such as Plantation Zeelugt.500 house lots and the processing and distribution of 4. 4. 148 core houses are expected to be completed.7 million was expended over the last year for the successful completion of a $2.2 billion housing project which has realised the construction and upgrading of roads. Section D Non Pariel. 4. The One Stop Shop Outreach initiative will be expanded to include Region 7 and aims at making the allocation process more efficient.500 households. Leonora. Speaker. Ordnance Fortlands. Westminster. Anna Catherina. No. 3. Belle West. Binkey Ally.636 lots in areas such as Cummings Lodge C&Y. 4. Hope Estate while water distribution networks were provided at Parfaite Harmony.conducted at fourteen locations in Regions 2. Plantation Schoonord. Glasgow and Onderneeming. Mahdia and Providence to Eccles which will benefit approximately 1. Sophia.000 residents. 98 in the coastal regions and 50 under the Hinterland Housing 40 . 4. and Hope Estate benefiting over 40.6 billion is allocated to the housing sector to facilitate the development of housing schemes which is expected to result in the allocation of 7. road and water distribution networks have commenced at established housing areas such as Block 8 Tuschen. Plantation Schoonord. a further $3. 76 Village and Belle West as well as at squatter sites including Section D Sophia. multi-purpose buildings were completed in Belle West. Section EE Non Pariel. $343. drains and structures in areas such as Block 8 Mon Repos. Block 8 Tuschen. Cummings Lodge and Glasgow.80 Mr. 6 and 10 which benefited over 2.83 Under the Second Low Income Settlement Programme.Lusignan and Block 5 and Areas R Ankerville. drains and structures benefiting 4. In an effort to provide community services in the newly established schemes.81 Under the Second Low Income Settlement Programme. Westminster. 4.
reconstruction and upgrading works for existing roads in established housing schemes under the Community Roads Improvement Project will commence. Speaker. 2. The hinterland water treatment programme has seen the successful installation of 7 solar photovoltaic systems. 8. GWI fulfilled its promise of launching the national water conservation education campaign. This will continue this year where 35 schools and over 2.000 residents. $100 million is allocated to see the commencement of a US$10 million East Bank Demerara Housing Development Project which aims at constructing main access roads to new housing sites benefiting over 3.000 water meters were installed. 7.Pilot Programme. construction of 3 elevated storage tanks and completion of 23 shallow wells in Regions 1. Amelia’s Ward. Further.500 students are expected to benefit. One of the major activities included the H2O Kids ‘N’ Action campaign where 21 schools and over 1.000 service connections were upgraded and in excess of 5. and Belle West is targeted for this year. Vergenoegen. In addition.4 billion was expended in the water sector. the water sector continues to make significant strides as Government moves ahead in providing access to potable water for every citizen. 4. service connection upgrades and increasing the number of customers that were paying for actual consumption thereby aiding conservation of our limited resource. 3.446 new house lots in areas such as 5 Miles Bartica. Notable achievements also included the expansion and improvement of water distribution networks at coastal locations and Linden.85 In 2010. Cotton Tree.86 Mr. In addition the development of 7. 5. This is the third year of implementation of the water company’s Turnaround Plan which saw reduction in nonrevenue water due mainly to an increase in metering. 9 and 10 benefiting 30. 4. 4. In addition. Central Ruimveldt. Sophia and Corriverton benefiting over 100.000 residents. $3. This is attributed to the completion of the water treatment plants at Lima. 15.500 students benefited from educational activities.84 Water Mr. Speaker. 41 .000 persons with improved water quality. d.
This will facilitate transmission and distribution main extension.88 Sanitation Mr. Calcuni.000 residents will benefit. Wiruni. Diamond. Anna Catherina. 42 . Kwebanna and Mahdia where over 5.89 The management of solid waste in the city has posed several challenges in terms of disposal. In Linden. functionality and integrity of the transmission and distribution systems at Amelia’s Ward and Wisroc from which over 7. Speaker in 2011. $75 million is budgeted to focus on improving the reliability. This will greatly enhance the city’s ability to cope with solid waste management and bring much needed relief to residents.000 residents in Georgetown. Lochaber. GWI has completed its mandate of updating its Sewerage Master Plan for Georgetown and Linden which is complemented by the recently completed computerised model of the existing sewerage system thereby enhancing the effective management of the system.000 persons. 4. Kariabo. A sum of $800 million has been allocated to facilitate the advancing of further works on the construction of the Haags Bosch sanitary landfill.87 Mr. e. Calcutta. $1. 4.4. Another $103 million is budgeted for provision of water to hinterland communities such as Sand Hills.000 residents will benefit. The focus of this project will be to improve the operational performance of the Georgetown sewerage system through the reconstruction of its most critical components thereby improving the sewerage service to 52. This year will also see an allocation of $180 million to commence implementation of the US$10 million Georgetown Sanitation Improvement Programme. DeHoop and Bartica.5 hectare cell during the first quarter. In this regard the Mandela landfill will continue to receive solid waste until February 2011 after which it will be completely closed in accordance with Environmental Protection Agency regulations.5 billion has been allocated to the water sector to achieve its objective of ensuring improved water supply. Work on the access road to Haags Bosch has been completed whilst work on the landfill is now expected to be completed and operations commenced using a 6. Speaker in 2010. treatment plant rehabilitation/upgrade and borehole construction activities benefiting over 100. Under the Coastal Water Supply Programme $850 million is allocated for improving water distribution in areas such as Hope.
In addition. rehabilitate the 43 . Further. the foster care programme is expected to expand with more children being placed in stable family homes while the recently constructed Sophia Care Centre for children is expected to become operational in the first quarter of this year. Another 108 children were reintegrated into their families. the Child Care and Protection Agency has continued to execute its mandate responding to reported child abuse cases. Government will continue to extend the protections we give our children through the passing of the two additional pieces of legislation governing child care. over 2. specialised counselling. the legislative landscape governing our children continues to be transformed with the Child Care Development Bill and the Custody. Government continues to empower our youths by educating and equipping them with the required skills and knowledge to secure their future livelihoods.90 Mr. Speaker. resulting in 360 children being moved from abusive situations and placed in safe environments. 219 youths were trained in various disciplines such as basic air conditioning. Children 4. Vulnerable Groups and Other Targeted Interventions i. $34. In addition. and play therapy in an effort to improve their competence and quality of service. In addition. Speaker.f.91 During 2011. The national foster care programme became fully operational and has seen the permanent placement of 69 children into foster homes. case management. Further. Sophia and New Opportunity Corps. Maintenance and Guardianship Bill currently under discussion before a special select committee of this Honourable House. 4.92 Youth Mr. ii.4 million was expended to expand and equip the facilities at youth training centres at Kuru Kuru. In 2010. 4.000 out of school youths were trained under the National Training Project for Youth Empowerment (NTPYE) programme while a further 570 young people were trained through the Youth Entrepreneurial Skills Training (YEST) Programme. electrical and fuel systems management and garment construction under the Board of Industrial Training. child protection officers are now being trained in foster care. Smythfield.
93 In 2011. GWLI will train 220 women and once again $25 million is allocated for the single parent programme which will expand to Region 7 and will target 400 persons. 4. iii. computer repairs and electrical installation. As indicated earlier. 5.000. In addition intensive outreach will be done in hinterland regions to ensure that women across the country are able to take advantage of these opportunities. 4. Further.Smythfield Drop-in Centre and to improve facilities at the Madewini Youth Camp site. under the WOW programme a further 1. and 10 graduated in such areas as cosmetology. 4. 44 .000 to $250. Speaker our vulnerable women have been able to benefit from several initiatives in 2010. In addition it is important to note that the majority of the single parents are women who continue to benefit from the training and start up grant funding for graduates under the Single Parent programme. Smythfield. Sophia and New Opportunity Corps. 3.95 In 2011. Training programmes under the Guyana Women’s Leadership Institute (GWLI) benefited 150 women in 2010. Kuru Kuru. 6. 261 youths are targeted to be trained under the BIT and over 700 more young people under the YEST programme.94 Women and Single Parents Mr. $120 million has been allocated to the National Sports Commission to facilitate the expansion of sporting activities in schools while another $200 million has been allocated for the upgrade of several sports grounds countrywide. work will commence on the upgrade of the national cycling track and commence construction of the athletic track at Leonora. the Women of Worth (WOW) programme launched in June of last year resulted in over 500 women benefiting from approval of loans ranging from $100. Last year 333 single parents from Regions 2.720 applicants are expected to be processed. Additionally. 4. In addition.
efforts will be placed on providing more opportunities for improving the physical and social well being of our elderly in social services and health care in addition to the continued financial support in the form of old age pensions and water payment subsidies. vi. Speaker. the construction of the 300-bed residential centre for rehabilitation and reintegration at Onverwagt has commenced and is expected to be completed later this year while the Night Shelter has extended its capacity by 60 persons to now cater for 250 persons providing them with meals. aquaculture and apiculture. In 2011. 4. $197. 4. financial support in the form of monthly old age pension benefited over 42. all intending to improve the quality of life of the residents.iv.6 billion. exercise room and canteen services.98 Indigenous Communities Mr.9 million was provided for projects and programmes arising from community development plans. 4. 11 villages had land titles issued.000 of our pensioners and subsidised water payments were afforded to qualified pensioners to the tune of $3. medical assistance and more importantly accommodation on a 24-hour basis. 4. Speaker.96 Elderly Mr. while the newly constructed recreation facility is operational with a reading room.97 Homeless Mr.7 million which benefited over 150 farmers who are now engaged in various aspects of crop production.99 Access to secondary. tertiary and technical vocational education for hinterland students continues to be addressed through several initiatives including the Hinterland 45 . Under the Amerindian Development Fund (ADF). Speaker. In 2010. v. our Amerindian brothers and sisters have continued to benefit from the security of land tenure through Government’s ongoing land titling programme. rehabilitation works to the physical infrastructure of the Palms Geriatric Institution is ongoing. In addition. The Secure Livelihood Programme expended $31.
It is expected that an increased number of hinterland scholarships will be awarded in light of the additional accommodation capacity at the new dorm.101 The recently established National Toshao’s Council Secretariat will benefit from $12. 8. and 10. Other Vulnerable Communities 4. Government remains firmly committed to strengthening capabilities for taking proactive and preventive measures in addressing issues of national security and in securing our people. This year will see the continuation of both programmes. is the establishment of mechanisms geared to support the provision of employment opportunities such as the Central Recruitment and Manpower Agency launched in November 2010 an online vacancy registration service.7 million has been budgeted. The Secure Livelihood Programme is expected to expand within Region 1 to benefit over 200 farmers and for which $33. Speaker. Under the ADF $78 million is budgeted for community programmes.Scholarship programme which awarded 71 places in 2010.103 Mr. vii. 7. which allows for automated registration and employment matching.000 persons received monthly support through the public assistance programme which targeted cases of temporarily incapacitated individuals. plant nursery and operationalisation of the student dormitory at Liliendaal. Enhancing Security and Justice a. 4.102 Approximately 9.1 million was spent on the construction of a student dormitory at Liliendaal with capacity to house 120 students. In addition to allocations for expanded school dormitories and related dietary a further $92.5 million for the execution of its mandate this year. E. 46 . Another $56 million will be expended on the construction of a poultry pen. 4. Critical to the reduction in the level of the vulnerability of the disadvantaged. Public Safety and Security 4. 9.100 In 2011 land titles will be issued to 13 villages in Regions 1.
capacity building. completion of the training facility for the Guyana Police Force. training. the barracks and bases of the security sector amounted to $527. The achievement of this will result from greater use of information and communications technology. In addition. prisons. intelligence gathering.9 billion is allocated for the sector. Further. outposts. remodelling of six police stations. pick ups. the sum of $662. infrastructural works and equipment.105 In 2011. A further sum of $580.2 billion on institutional strengthening. barracks and bases countrywide. improved investigative capability. A total sum of $15.104 In 2010. motorcycles.2 million is allocated for the purchase of vehicles including trucks. The cost of construction. fire tenders and buses. Kwakwani and Lethem.5 million relates to the expanding the hinterland fire protection drive with the purchase of all terrain water tenders and trailer pumps for Port Kaituma. 4. of which $80.1 billion will be provided for the construction of a modern forensic laboratory and firefighting training school. 47 . strengthened community policing and intensified collaboration with our regional and international law enforcement agencies. prisons. new fire stations at Mahaica and Diamond. fire stations. Mahdia.8 million was spent on the acquisition and maintenance of vehicles including a mobile police station.106 To ensure the effective operational capability of our security forces $1.2 million was expend to resource community policing groups. trucks and buses while $41. our security sector expended $14.4. Mabaruma. greater emphasis will be given to serious crimes and activities that adversely affect the lives of every citizen and community across Guyana. operational capacity strengthening. The completion of the five year strategic plans for the Guyana Police Force and the Guyana Prison Service also augurs well for the organisation of the operations of our security forces. rehabilitation and maintenance of police stations and outposts.9 million. rehabilitation and maintenance of police and fire stations. over $140 million will be expended on training our security forces to improve their response capability. 4.
4.5 billion was spent in this sector. will be addressed in a specialised environment. A sum of $195.8 million while two new Magistrates’ Courts were completed at Charity and Leonora at a total cost of $22. Lethem. In addition.110 For the first time in thirty-three years.109 Sentencing guidelines for Judges and Magistrates were developed to facilitate simplification.112 In an attempt to improve the efficiency of the judicial administrative system. in 2011. Speaker. 4. Whim.b. including child custody cases. The continued investments in upgrading the infrastructure in the justice system resulted in the completion of the first ever Family Court at a cost of $58. Further. criminal and procedural manuals were completed to aid the processes and procedures of court.111 Mr Speaker. rehabilitation and extension of Mibicuri. Modernising Justice Administration 4. 4. the revision of the substantive laws to 2006 was completed while $20 million was expended on law books to upgrade and maintain current library collections. over G$1. 4.107 Mr. an electronic document management software will be implemented at the High Court in an effort to monitor new cases being filed and is expected to be operational later this year while the operation of the digital speech recording system to reduce time taken to record evidence in the Supreme Court and the Court of Appeal will be effected later this year. a total of $2.4 billion has been budgeted to consolidate advances made within the justice sector. as part of the Government’s mandate to ensure an efficient and capable judiciary several reforms were undertaken toward this objective. Judges and Magistrates benefited from training in judgment writing and judicial leadership and development. Christianburg and Georgetown Magistrates courts.8 million. The operationalising of the Family Court later this year will result in the provision of a facility where family law. In addition.4 million is allocated for the construction. uniformity and predictability of sentencing matters.108 In 2010. 48 . 4.
Guyana will continue to provide intellectual leadership to the global discourse and policy debates on the subject of climate change.Judges and Magistrates will benefit from training in court administration and time management. 4. The Government’s foreign policy is geared towards enhancing the economic and social development of our country and in the active promotion of Guyana’s interests within the international community. 4. we assumed the Chairmanship of UNASUR. especially Suriname on the bridging of the Corentyne River.115 In November last year. Guyana remains fully committed to this integration mechanism which has proved itself as a catalyst for consolidating policies in key areas such as finance.114 Through the conduct of its foreign policy. We will continue to promote linkages between CARICOM and UNASUR. conscious of the immense economic benefits which these can accomplish. As a result.113 The Government remains committed to executing a foreign policy that continues to be based on the preservation of Guyana’s sovereignty and territorial integrity. 4. social planning and the integration of physical infrastructure.116 Guyana’s role as a proactive player in international affairs intensified in 2010 with strident advocacy in the fight against climate change. 49 . This occupied a position of priority on the national agenda as it did on the international one with the Low Carbon Development Strategy being developed as a model to be followed. F. a number of cooperation programmes will be pursued this year. defence. the year 2010 saw further strengthening of our relations with all our neighbours. Having ratified the Treaty of that Union. Priorities for 2011 will include working with our neighbours to advance infrastructure projects in which we have common interests. Foreign Relations 4. and Brazil on the road from Lethem. In 2011. and methods of dealing with domestic violence.
Further. A number of legislative measures aimed at strengthening the financial sector and achieving greater compliance with recommended international best practices were enacted in 2010. CARICOM is as important today as it was when it was founded over 3 decades ago. We owe this not just to the founding fathers of this movement but to the people of our Region who deserve no less but to live assured of an acceptable standard of living in one Caribbean space with one Caribbean identity. On-site examinations were also conducted.4. We will learn from mistakes and emerge even stronger and more united. G. as well as to maintain the overall stability of the financial sector. Speaker. and pursuant to the Money Transfer Agencies (Licensing) Act 2009.118 Mr. These included legislation to establish the framework to license and supervise credit bureaus and to bring the New Building Society under the supervisory authority of the Bank of Guyana.117 Government will continue to strenuously support the efforts of the Caribbean Community to deepen the regional integration movement. Financial Sector Reform 4. A supervision guideline on Intervention Policy was issued to identify areas of concern at an early stage and to intervene effectively to minimise problems and likely losses to depositors and other creditors. with the domestic financial institutions remaining relatively unaffected by external events. 4. generally. with the exception of Clico. the banking system and the individual banks’ shock absorptive capacities were adequate under alternative scenarios.119 During 2010. 50 . We must prove the doomsayers wrong. served our financial system well through the recent regional and global crisis. the strong regulatory and supervisory framework established for the financial sector by our Government over the years. the Bank of Guyana in 2010 commenced the licensing and supervision of the money transfer agencies and agents. Other Institutional Reforms a. the introduction of quarterly stress testing of the banking system and individual banks indicated that.
4. shorter processing time for entries and goods at customs. Improvements continue to be made under the Total Revenue Integrated Processing System (TRIPS) which has facilitated timelier. In 2010. Speaker.123 Looking ahead to 2011. have continued to be streamlined and have employed a risk profile management system for the identification of key areas of concern. institutional and regulatory frameworks making it easier to do business in Guyana. In addition. a guideline on related party transactions is also expected to be issued in 2011.121 Mr. processing and analysis of revenue collection. harmonising and electronically integrating the business processes of the licensing 51 . Internal units.120 Priorities going forward will include a review of extant legislation on the insurance sector in light of the Clico experience with the aim of identifying areas for possible strengthening. further alignment of business and tax administration processes. including the newly operationalised Debt Management Unit. with the ultimate aim being to bring the latter entities under the supervision of the Bank of Guyana. b. more transparent and accurate data entry. GRA continued to expand its reach across the country through the establishment of fully integrated regional tax offices in Linden and New Amsterdam. In addition to GRA’s Risk Profiling System for customs inspection which reduces the number of physical inspections needed. 4. improved supervision and transparency. This system is expected to further reduce the cost and time incurred by businesses by simplifying.4. the recently acquired container scanner is expected to improve customs performance. Improving the business environment 4. increased enforcement and the widening of the GRA’s reach across the country. Government has made significant progress over the years in improving the legal. Government will advance the implementation of the Single Window Automated Processing System (SWAPS) which will take place over the next two years. along with a similar review of the arrangements to supervise credit unions. The restructuring of GRA along functional lines has continued to result in more efficient services offered to citizens.122 Government has continued to modernise and reform the operations of the Guyana Revenue Authority (GRA) with the tangible results of enhanced revenue collection.
the Government expects to continue its legislative advancements in improving the business environment. Strengthening Public Administration and Accountability 4. upon completion. with particular attention being given to mergers and acquisitions.bodies that account for the transactions associated with Guyana’s trade. The project. thereby enabling more timely and accountable management of public money. Guyana now has modern fiscal management and accountability legislation. Speaker. and of a Treasury Memorandum in response to reports by the Public Accounts Committee. In 2011.124 The Competition and Consumer Protection Commission functioned in a modest capacity in 2010 with two cases being brought before the Commission which are under current investigation. modern audit legislation. including manifest and third party modules which will strengthen systems for detecting false declarations. Parliamentary tabling of audited public accounts and annual reports of public sector entities. is expected to reduce the time required to process a request for an import/export license from 3-5 working days to within 1 working day. to continue and intensify its training and to launch a more aggressive media campaign to raise awareness of the Commission and its functions. including the E-Transactions and Consumer Affairs Bills.126 Mr. a comprehensive review of the existing competition legislation will be conducted. 52 . 4. in particular. along with the building and implementation of a database. and modern procurement legislation. The Commission’s secretariat aims to be fully staffed.125 During the course of this year. 4. As a result of our efforts. additional modules will be added to the TRIPS system. We computerised Government financial management functions. c. We reintroduced public tendering for procurement. this Government is justifiably proud of its achievements in strengthening public administration and. and several bills are slated for presentation in 2011. Further. The Commission has also embarked on a public awareness campaign with the issuing of bulletins in the print media aimed at sensitising the general public to the Competition and Fair Trading Act 2006 and its provisions. in improving public accountability over the years.
128 In 2010. the Rights of the Child Commission and the Indigenous Peoples Commission with budgetary allocations. d. the UN Convention on the Rights of the Child. the Leader of the Opposition in accordance with the Constitution has been approached formally to provide the nominations from which the chairperson of the Human Rights Commission will be appointed. and the establishment of the Women and Gender Equality Commission. with the principles of inclusivity and participatory democracy remaining deeply entrenched in our governance model. and the Inter-American Convention against Corruption. Guyana’s model of inclusive governance. 4. 4.130 With the appointment arising from the parliamentary consensual mechanism. our poverty reduction programme.127 Mr. economic and administrative. There. The effective and efficient delivery of government services is expected to be enhanced as work continues to advance on the development of a national monitoring and evaluation framework.129 These efforts included accountability and transparency in keeping with our international treaty obligations. going forward. our Government implemented a number of initiatives which contributed to further enhancement of democratic governance at all levels. offices and staffing. Speaker. political. Governance 4. and Low Carbon Development Strategy were commended. Greater use of information and communications technology and increased access to information via Government websites is reflective of the level of transparency and accountability within the public sector. Guyana also met other international treaty reporting obligations in terms of the UN Convention on the Elimination of all Forms of Discrimination against Women. 53 .4. Continued strengthening of public financial management will see the staffing of a robust internal audit function within the central government to ensure the improved quality of our system of internal controls. It should be noted that Guyana appeared before the United Nations Universal Periodic Review at its 8th and 15th sessions in May and September. the realisation of greater value for money in the management of resources within the Government remains a prime focus.
the largest number for any session in the history of the Guyana Parliament. there was no major issue. The Public Accounts Committee led by the Opposition continued to scrutinise government’s expenditure. the child protection and sexual offences laws. market vendors. in this the 9th Parliament.131 Mr. that was not subjected to discussion with various stakeholders. judicial and security sectors. the National Stakeholders Forum. a new standing committee to provide oversight to the security sector was established. Fourteen bills were subjected to scrutiny by parliamentary special select committees and 5 are currently pending in committees. the government’s open door policy and accessibility is unique. As a result of an amendment to the Constitution. Most notable among these are the new laws in the financial. and all were answered in keeping with the Standing Orders. Whether it was matters relating to taxi services. including with the interest groups.132 The Parliamentary system also provided an important mechanism through which members of the Opposition posed over 300 questions to Ministers during this Session.4. The expanded committee system also continued to play a major role in building the inclusive governance model and enhanced transparency and accountability. civil society. These include new and modern legislation in every sector now properly positioning Guyana in the 21st century. and communities as well as Cabinet and individual Minister’s outreaches . the National Conference in October 2010 continued to strengthen the engagement of the Government with the Amerindian communities and further their integration into the national developmental agenda. Speaker. law or amendment to law. our credentials as a democratic nation will be on show later this year when the 2011 general and regional elections are conducted. and the sectoral committees government policy and performance. 4. which is the only one of its kind in the region.133 In the day to day operations of government. In terms of consultations with the Amerindian communities and their Toshaos. local government. housing issues. This Budget increases the 54 . policy or programme. sugar workers. 4. rice famers. the past four years have witnessed the most dynamic period of law-making with 124 bills being enacted. Speaker.134 Mr. 4. and the new maritime boundaries law.
It is incumbent on all of us that our maturity as a nation manifests itself in smoothly conducted and well executed polls later this year.137 Mr. Guyana’s reservations regarding the EPA are well known.135 Mr. I signed and caused to be published in the Official Gazette Order No. Guyana is the first among the Member States of CARICOM to implement the agreed EPA tariffs and fulfil the requisite obligations. following a three year grace period or moratorium from 2008 to 2010. as a result of which our Government had insisted that the Agreement must provide for a Review by the Parties. 55 . 4. This was agreed to in advance of the October 2008 signature by CARIFORUM.136 CARIFORUM countries are scheduled to commence their liberalisation of tariffs from January 2011. 1 of 2011 which amends the Customs Act to include the EPA Schedule of Tariff Rates. EU/CARIFORUM Economic Partnership Agreement 4. as is well known. By taking this step. Speaker. e. (ii) Products that will be fully liberalised immediately – 60 percent of all imports or tariff lines will be liberalised immediately from 2011. CARIFORUM countries concluded negotiation of the Economic Partnership Agreement (EPA) with the European Union (EU) in December 2007. 4.budgetary allocation for the Guyana Elections Commission by $2 billion for the conduct of the elections. however. was not formally signed by the participating States until October 2008. Speaker. In this regard. and (iii) Products that will be fully liberalised during a phased out period over 5-25 years – the remaining 23 percent of imports will have their duties phased out over 5 to 25 years. Guyana’s tariff treatment of goods originating in the European Union under the EPA will be as follows: (i) Products excluded from liberalisation – 17 percent of imports (or tariff lines) from the EU are excluded from liberalisation. That Agreement. last Friday January 14.
3 The rice industry is projected to increase its production even further 379.4 percent. the industry has no option but to ensure that the investments already made yield the returns expected of them. Government has made clear to the industry our expectations with respect to implementation of the plans and achievement of the goals set out in the turnaround plan.2 Agriculture Mr. the securing of better export markets has also been a benefit to the industry. 35. 5.5. 5. while the other agriculture sector is projected to grow by 2 percent. In addition.879 tonnes. sugar production is targeted at 298. the difficulties confronting the sugar industry are well known and have been much ventilated. reflecting the industry’s expectation of a recovery to production levels previously achieved. A. generating efficiency gains from increased mechanisation.9 percent increase in value added. especially given the absence of 56 .628 tonnes which would be the highest ever level of production and. In 2011. raising the conversion rate of cane to sugar. This reflects increased yields from the fields as farmers benefit from improved varieties of rice and also the expectation of favourable weather conditions. reflecting the returns on the agricultural diversification programme and the Grow More Campaign. As has previously been stated. In return. including as they relate to increasing the acreage under cultivation.6 percent.8 percent. generate a 4.1 Targets for 2011 Real Gross Domestic Product Mr. Output in the forestry sector is targeted to decline by 1. the economy is projected to continue to grow in 2011. by 4. 5. Speaker. a. with the non-sugar economy projected to grow by 2.3 percent above 2010 level of production. 5. and improving industrial relations between the sugar company and its workers. Speaker. as a result. the industry has given certain assurances that provide some room for confidence that the turnaround will be accomplished.4 The livestock industry is conservatively expected to maintain its level of output in 2011.
220. manifested through the opening up of new housing schemes and allocation of new house lots. while diamond production is budgeted to contract by a further 10 percent as production capacity continues its migration into gold.7 percent. Although the fishing sector performed well in 2010. b.5 Industry The mining and quarrying sector is expected to recover from 2010 performance and is targeted to achieve 2. 5. The economy’s performance in 2010 substantiated this reality. primarily reflecting increased processing activity as a result of the higher level of sugar production along with some expansion in output in light manufacturing. it is only projected to grow by 0.9 percent to 317. Speaker. The bauxite industry is expected to recover with a 12.8 The information and communication sector is expected to lead the way with a 5 percent growth.416 ounces. fuelled by the significant investments made in the sector. Gold declarations are targeted to grow by 2.000 tonnes. the rebasing of Guyana’s national accounts confirmed certain shifts in relative importance amongst sectors.7 percent growth in production to 1. as demand for aluminium continues to strengthen on the world market.4 percent in 2011. 5. and the service sectors are expected to continue to play a lead role in generating growth in the economy’s overall performance in 2011. as systems are being put in place to ensure the sustainability of the industry and maintenance of fish stocks.8 percent growth.6 The manufacturing sector is targeted to grow by 7.7 Services Mr. as I reported in my Budget speech last year. The engineering and construction industry is targeted to grow by 4. 5.plywood manufacturing capabilities for at least the first part of this year. 5. with the service sectors reflecting a greater contribution to the economy’s total output than before. c. a reflection of Government’s policy to ensure that every Guyanese family has their own home. The wholesale and 57 .5 percent.
9 Monetary Policy and Inflation Monetary policy will continue to support the expansion of private sector credit in an environment of low inflation and a stable exchange rate. While global food and fuel prices are projected to increase. B. C. reflecting improved performance of the self 58 . the inflation rate is targeted at 4.10 Balance of Payments The overall balance of payments is projected to achieve a surplus of US$24. the domestic economy is expected to be insulated from these developments as we continue to gain from the investments made to assure food security. and regulate the excise on fuel to moderate pass through. 4 and 1 percent respectively. This is attributed to a projected widening of the current account to US$385. other services.3 percent increase primarily attributed to higher import duty collections arising from higher import volumes after allowing for the impact of implementing the EPA.9 percent to $112 billion. while the distribution sector is targeted to grow by 3. and rental of dwellings are targeted to grow by 4. representing an 8. 5. Consequently. 5. the capital account is projected to improve by US$84.9 percent to $44.1 million surplus at end 2010. with Guyana Revenue Authority contributing $104.1 billion. financial services.2 million to US$410 million surplus as the level of disbursements is expected to increase significantly.9 percent.retail sector is projected to grow by 4.4 million. Customs and trade taxes are projected to collect $10 billion. Targets for the Non-Financial Public Sector a. 5.6 million due to higher import commodity prices outweighing the projected higher export earnings. Likewise. compared to US$90.4 billion. D.4 percent.4 percent.11 Central Government Operations Current revenue (net of GRIF inflows) is budgeted to increase by 3. Meanwhile. Internal revenue collections are targeted to increase by 1.
5. primarily due to higher collections on imports. 13.4 billion. Non-tax revenue collections are projected to increase by 11. 59 . 5.5 billion mainly on account of higher export sales of sugar. Speaker. The growth in non-interest current expenditure is primarily attributed to cost of conducting general and regional elections in 2011.12 Total expenditure is projected at $157.2 percent to $7.9 percent to $50. Of this. while capital expenditure is projected to increase by $5.5 billion. The overall deficit is projected at $2. 5.4 per cent over the 2010 level.7 billion attributed to the purchase of additional generating capacity by Guyana Power and Light.5 percent of GDP. Value-added and excise taxes are targeted to increase by 3.13 The overall fiscal balance of the Central Government as a percentage of GDP is expected to remain level at 3 percent. 5. 5.5 percent to $109. The growth in capital expenditure is mainly due to heightened activity in ongoing projects and new projects commencing execution. and on domestic supplies due to increased domestic trade activity. b. while capital expenditure is projected to increase by 33 percent to $62.1 billion.16 Operations of the Non-Financial Public Sector The deficit of the non-financial public sector is projected to decline to $17.15 Summary Operations of the Public Enterprises Total receipts of the public enterprises are projected to increase by 13.employed category and PAYE. c.1 percent higher than last year’s budget and the largest budget in our country’s history.7 billion.2 billion. with the Guyana Elections Commission’s recurrent allocations being increased by a total of $2 billion to accommodate this cost.3 billion. an increase of 18.7 billion. the size of Budget 2011 is $161. current expenditure is projected to grow by 10.3 billion or 3.14 Mr.6 percent to $95. primarily on account of higher Bank of Guyana profits.
at a rate of $7.1 Measures Mr. Speaker. as in the case of public assistance. 6. 6. the elderly. That notwithstanding.000 beneficiaries.3 It is worth noting that. in like manner. with effect from February 1. more than double the rate that was paid as recently as 2006.500 per month. or threshold as it is popularly known. This latest increase therefore has the effect of causing the rate that is paid from next month to be more than double the 2006 rate. In addition. 6. a 12 percent increase.5 Personal Income Tax Mr. Budget 2011 provides for public assistance to be paid. Speaker. Budget 2011 makes provision for the implementation of certain other specific measures designed to benefit the vulnerable in our society. 2011. the personal income tax allowance.000 per annum. 2011. the working people of our country.6. and our rapidly growing private sector. old age pension is currently paid at a rate of $6. the budget is fully financed without the introduction of any new taxes.000 pensioners. Budget 2011 provides for old age pension to be paid. Budget 2011 projects a reduction of the fiscal deficit reflecting the prudent policies embraced by our Government. with effect from February 1.2 Public Assistance Mr. 6. Speaker.350 per month. public assistance was paid at a rate of $2. I also wish to announce that with effect from year of income 2011. Speaker. 6.900 per month to approximately 9. will be increased from the current level of $420. at a rate of $5.000 per annum to $480. C. just four years ago in 2006. public assistance is currently paid at a rate of $4.600 per month to 42. as already indicated. 60 . B. a 14 percent increase over the current rate and.500 per month.4 Old Age Pensions Mr. A.
000 taxpayers will be removed from the income tax net.000 less in income taxes in a year.6.9 Secondly. 6.8 Firstly.000 per month will now pay $20. Consequently. D. 61 . by 5 percentage points from the previous rates of 45 and 35 percent to 40 and 30 percent respectively. such companies shall with effect from year of income 2011 pay corporation tax at the rate of 30 percent of chargeable profits. this measure has the effect of reducing the rate of corporation tax for all companies. 6. whereas prior to this adjustment commercial companies would pay corporation tax at the rate of 45 percent of chargeable profits. whereas prior to this adjustment non-commercial companies would pay corporation tax at the rate of 35 percent of chargeable profits. 6. companies benefiting from this measure would be in a position to retain and reinvest a significantly higher share of their profits. and approximate 38. except telephone companies. a taxpayer earning $40. except for telephone companies which shall continue to pay corporation tax at the rate of 45 percent. Speaker. 6. I further wish to announce that the following adjustments shall be made to the rates at which corporation tax is paid.10 Mr. such companies shall with effect from year of income 2011 pay corporation tax at the rate of 40 percent of chargeable profits.6 As a result of this adjustment: every single taxpayer will benefit from higher take home pay. Speaker.7 Corporation Tax Rate Mr.
4 Mr. and where enterprise and hard work are justly and generously rewarded. by the 90. a well educated work force equipped with the most current of skills.3 But. and lived.1 Mr.2 This progress is being felt. a Guyana where all of its citizens live in harmony. by the 2.500 young men and women who go to work in a call centre and who provide services in a high technology environment to customers at the other side of the world. where there is no limit to what the young can achieve. Mr.7. productively. either about the sheer breadth of what has been achieved. 7. and gainfully engaged.000 families that will start receiving their laptops later this month. or about the fact that it has touched almost every one of our citizens in one way or another.344 persons who saw an ophthalmologist and the 542 who had cataract surgeries in Port Mourant since the National Ophthalmological Hospital opened its doors. there can be absolutely no doubt about the progress our country has made over recent years. we live the transformation each and every day.629 persons who got connected to the national electricity grid for the first time during the past four years. This is the reason Budget 2011 speaks of tomorrow’s Guyana. Speaker. affordable and clean energy. where the elderly have no need that is not met. closer partnerships and infrastructural links with our neighbours and within our own country. These.148 persons who were allocated houselots who did not previously own their own home and the 20. this PPP/Civic Government believes that that Guyana of tomorrow must no longer be a distant dream. 7. where the weak enjoy the protection of the strong. and take them we must. Speaker. Conclusion 7. peacefully. by the 27.000 passengers in the 900 vehicles that cross the Berbice River Bridge every day. Even if we sometimes take these changes for granted. the work is not over and much remains to be done if we are to achieve all to which we aspire for our country. availability and productive use of cutting edge technology. by the 4. 7. Its achievement depends on the actions we take today. every day: by the 15. It is for that reason that we have defined a vision. and built a strong degree of consensus around that vision: sustainable use of our land and our natural resources. 62 .
each and every one of us has a contribution to make in realising this vision and.6 Thank you very much. tomorrow’s Guyana would surely be well on its way to being built.Speaker. 7. Speaker. today. 7. define tomorrow’s Guyana. 63 .5 Mr. today. and this is what Budget 2011 is about: investing in the transformation to tomorrow’s Guyana. were we each diligently to do our part.
SELECTED SOCIO - ECONOMIC INDICATORS
1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 2.0 2.1 2.2 2.3 2.4 2.5 2.7 2.8 2.9 3.0 3.1 3.2 3.3 3.4 4.0 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 INDICATORS NATIONAL ACCOUNTS AGGREGATES (2006 Base) Growth Rate of Real GDP GDP at current basic prices (US$M) GNP at current basic prices (US$M) Per capita GDP (US$) Per capita GNP (US$) Gross National Disposable Income (US$M) Private Consumption as % of Gross Domestic Expenditure Public Consumption as % of Gross Domestic Expenditure EXTERNAL TRADE AND FINANCE (US$M) BOP Current Account Balance Imports of Goods and Non-Factor Services (G&NFS) Exports of Goods and Non-Factor Services (G&NFS) Resource Balance Imports of G&NFS/GDP (%) at 2006 Base Exports of G&NFS/GDP (%) at 2006 Base Net International Reserves of Bank of Guyana External Public Debt Outstanding PRICES, WAGES & OUTPUT Rate of Inflation (% change in CPI) 1/ Public Sector Monthly Minimum Wage in G$(e.o.p) % Growth Rate Electricity Generation (in M.W.H) POPULATION & VITAL STATISTICS Mid-Year Population ('000) Population Growth Rate (e.o.p) Net Migration ('000) Visitor Arrivals ('000) Crude Birth Rate (per 1,000 persons) Crude Death Rate (per 1,000 persons) Crude Marriage Rate (per 1,000 persons) Infant Mortality Rate (per 1,000 live births) Under 5 mortality Rate (per 1,000 live births) 2006 2007 7.0 1,514.6 1,503.4 1,984.5 1,969.8 2,019.8 68.9 11.8 2008 2.0 1,731.9 1,717.1 2,260.3 2,241.0 2,176.6 70.3 11.6 2009 3.3 1,776.6 1,759.7 2,308.5 2,286.6 2,324.0 65.7 13.0 2010 3.6 1,946.0 1,958.8 2,501.7 2,518.2 2,621.3 67.8 12.0
1,288.6 1,245.5 1,694.0 1,637.3 1,579.5 65.1 12.2
-250.3 -1,130.4 732.7 -397.7 87.7 56.9 221.5 1,043.2
-189.1 -1,335.6 870.9 -464.7 88.2 57.5 254.0 718.8
-321.4 -1,648.8 1,013.4 -635.4 95.2 58.5 298.8 834.3
-230.6 -1,451.8 938.5 -513.3 81.7 52.8 569.4 933.0
-239.0 -1,762.5 1,140.0 -622.5 90.6 58.6 780.0 1,042.9
4.2 26,070.3 5.0 534.6
14.0 28,416.7 9.0 559.2
6.4 29,836.0 5.0 569.2
3.6 31,626.0 6.0 602.0
4.5 33,207.0 5.0 627.4
760.7 0.3 -9.2 113.5 19.5 6.6 6.1 19.2 20.3
763.2 0.3 -10.8 134.1 19.0 6.6 5.3 20.3 23.9
766.2 0.4 -18.7 129.6 19.9 6.5 4.2 17.5 20.2
769.6 0.4 -6.4 141.3 19.6 6.2 5.4 14.9 19.8
777.9 1.1 -4.2 150.1 19.2 6.4 5.4 15.1 20.5
5.0 HEALTH AND EDUCATION 5.1 Public Expenditure on: 5.1.1 Education as % of National Budget 5.1.2 Health as % of National Budget 5.2 Number of Physicians per Ten Thousand Population 5.3 Number of Nurses per Ten Thousand Population 5.4 Number of Hospital Beds per Ten Thousand Population 5.5 Low birth-weight babies (<2500g.) as a % of live births 5.6 Severely malnourised 5.7 Moderately malnourised 5.8 Overweight (%) 6.0 6.1 6.2 6.3 6.4 IMMUNIZATION COVERAGE 1 year olds Immunized against DPT/ (Pentavalent) (%) 1 year olds Immunized against MMR,Yellow Fever (%) 1 year olds Immunized against polio (%) 1 year olds Immunized against TB, BCG (%)
13.0 9.0 4.9 10.8 24.1 10.8 0.4 5.9 3.9
17.1 10.6 5.1 10.1 24.9 11.6 0.5 7.0 3.6
15.5 9.3 6.6 10.6 24.9 11.0 0.3 5.9 3.3
15.7 9.9 6.6 11.2 25.1 10.1 0.2 5.3 3.6
15.3 9.4 6.9 10.1 24.2 10.9 0.2 5.5 3.3
93.0 90.0 92.0 96.0
94.0 96.0 94.0 97.0
94.0 96.0 94.0 96.0
98.0 97.0 97.0 98.0
96.8 92.0 96.5 97.5
7.0 CRIME 7.1 Reported Serious Crimes 2/ 7.2 of which: Murder
Note:1/ Rate of inflation in 2010 is presented under the New Series with Base year December 2009, while for 2005 to 2009 data is presented under the Old Series with Base Year December 1994. 2/ The category ‘Reported Serious Crimes’ now includes the reclassification of certain offences.
Source: Bureau of Statistics and Ministry of Finance
Budget Speech Appendices
759 6.478 5.APPENDIX II (A) GROSS DOMESTIC PRODUCT AT 1988 PRICES BY INDUSTRIAL ORIGIN SECTOR 2005 2006 2007 ACTUAL 2008 BUDGET 2009 REVISED 2009 TOTAL 5.068 6.548 6.253 6.397 Sugar Rice Livestock Other Agriculture Fishing Forestry Mining & Quarrying Manufacturing Distribution Transport & Communication Engineering & Construction Rent of Dwellings Financial Services Other Services Government 761 168 129 288 161 199 426 346 483 629 533 104 315 228 708 802 189 125 308 156 237 334 364 532 692 597 114 340 246 722 824 183 128 322 161 211 409 367 579 782 631 118 364 258 729 699 203 137 347 158 179 434 360 648 860 685 123 408 277 736 896 188 141 354 158 179 428 360 670 894 711 125 424 282 736 723 221 141 367 141 178 437 360 690 877 695 125 420 285 736 Note: Individual figures may not sum up to the total due to rounding _______________________________________________________________________ Figures: G$m Source: Bureau of Statistics 65 Budget Speech Appendices .
422 24.619 13.280 13.613 13.148 20.329 62.724 24.619 32.161 31.187 6.203 28.032 18.518 24.871 8.813 8.474 10.944 21.261 12.243 25.751 27.296 27.358 7.046 9.335 61.331 32.760 14.714 3.887 9.730 6.472 20.579 4.471 4.611 14.222 (7.113 9.939) 307.390 28.667 4.551 4.140 24.263 9.882 34.508 36.863 3.221 12.134 8.331 3.568 17.247 25.037 8.937 4.649 10.169 (7.196 7.668 11.849 3.619 14.247 21.446 33.927 32.905 5.561 20.217 3.508 8.423 5. Fishing and Forestry Sugar Rice Other Crops Livestock Fishing Forestry Mining and Quarrying Bauxite Other Manufacturing Sugar Rice Other Manufacturing Electricity and Water Construction Wholesale and Retail Trade Transportation and Storage Information and Communication Financial and Insurance Activities Public Administration Education Health and Social Services Real Estate Activities Other Service Activities less adjustment for FISIM TOTAL 63.376 4.479) 281.425 5.162 29.488 9.721 12.334 22.765 22.046 9.396 25.619 14.242 9.311 14.531 9.690 5.009 26.225 20.770 3.959 (7.368 13.649 39.792 12.974 14.576 29.398 15.009 14.368 8.209 41.932 10.393 4. FISIM – Financial Intermediation Services Indirectly Measured.132 12.567 11.527 7.794 7.642 8.827) 309.744 19.938 23.483 8.471 23.558 22.233 5.166 7.745 5.168 8.470 16.896 62.423 31.854 22.131 15.353 19.553 (7.177) 321.061 5.723 14.759 12.734 43.782 3.454) 296.302 5.060 13.886 22.APPENDIX 11 (B) ________________________________________________________________________ GROSS DOMESTIC PRODUCT AT 2006 PRICES BY INDUSTRIAL ORIGIN INDUSTRY REBASED 2007 REBASED 2008 REBASED 2009 BUDGET 2010 REVISED 2010 BUDGET 2011 Agriculture.022) 286. Figures: G$m Source: Bureau of Statistics 66 Budget Speech Appendices .650 13.292 29.329 6.575 4.182 4.564 5.078 4.619 12.352 25.518 (8.723 13.198 67.784 4.340 25.545 7.543 5.266 3.780 21.313 7.465 5.871 24.676 14.180 6.986 12.162 45.578 12.052 (8.892 25.417 65.152 9.268 3.115 12.003 12.290 Notes: Years 2007 – 2009 have been rebased and rebenchmarked at the new base year of 2006 and are presented for comparative purposes.
651.271.9 698.8 3.116.5 (30.3) 107.6 2.1 7.105.5) 17.457.347.1 21.9 33.192.9 (2.4 133.8 46.0 13.889.7 98.0 257.906.5 3.879.919.0 3.2 9.367.4 7.484.690.2 26.9 28.985.6) 11.Escrow A/C Overseas Deposits Net Domestic Borrowing Net Divestment Proceeds Overall Deficit as a % of GDP 94.3 78.384.587.182.808.427.264.3 94.0 1.5 8.0 4.0 703.890.5) 15.853.1 48.4 5.2 (14.960.6 (31.155.7) 16.APPENDIX III ________________________________________________________________________________________________________ CENTRAL GOVERNMENT FINANCIAL OPERATIONS ACTUAL 2009 BUDGET 2010 REVISED 2010 BUDGET 2011 Total Revenue Revenue Tax Income taxes Consumption taxes Trade taxes Other Non-tax Private sector Public enterprise & BOG GRIF Inflows Total expenditure Current expenditure Non-interest expenditure Personal emoluments Other goods and services Transfer Payments Interest External Domestic Primary balance Current balance Capital Revenue Capital Expenditure Overall Balance before Grants Grants HIPC relief Original Enhanced CMCF MDRI Other Projects Non-projects Overall Balance after Grants Financing Net External Borrowing Disbursments of Loans Debt Repayments Rescheduling Guysuco .9 39.6 7.516.1 2.982.3 (32.9 3.7) (6.0 31.6 518.249.8 50.8 28.508.6 94.856.5 15.806.264.5 4.648.9 79.4 104.1 48.3 1.5 2.6) 13.697.328.2) 14.048.336.7 21.986.5 34.9 2.687.5 (15.024.8 15.7 1.890.990.5 10.3 26.0 5.657.805.439.371.4 25.8 1.333.685.4 44.431.356.792.508.197.6 7.1 184.108.40.206 816.947.9 80.1 3.848.6 12.5 3.429.2220.127.116.11 586.2 19.691.526.532.049.0) 104.0 877.718.989.605.539.2 3.7 200.9 4.6 23.0 20.260.806.7 3.142.8 47.6 73.732.8 1.6 100.134.852.506.024.658.4 587.974.798.0 135.4 107.243.856.949.6 6.856.650.197.714.6 406.3 18.052.8 9.477.8 916.038.334.7 (15.3 9.889.150.3 (15.066.681.4 89.7 746.1 518.0 2.8 46.1 112.4 27.6 29.6 870.0 87.5 7.7 39.916.170.811.0 4.290.5 37.976.113.1 7.4) 15.067.0 86.495.6) (5.9 127.7 21.0 4.063.2 487.5 2.0 4.477.824.3 24.0 (13.222.613.8 3.167.5 15.658.6 2.420.018.7 (25.9 6.604.4 3.5 24.8 11.264.865.745.8 7.2 19.7) (261.300.672.5 23.8 - 126.0) (3.2 31.254.084.8 3.378.468.0 157.305.523.547.2 14.3 (7.092.379.4 16.386.299.7) (4.510.457.7 62.7 2.350.084.0 31.3) (3.8 3.275.528.450.881.6 6.8 6.4 14.3 169.5 3.0 4.3 8.0) 15.5 95.397.4 3.0) (3.477.959.1 3.716.718.4 86.0) Figures: G$m Source: Bureau of Statistics 67 Budget Speech Appendices .787.
0 256.3 101.0 100.8 104.3 100.9 101.3 101.2 100.0 105.3 219.8 103.0 100.4 2.7 102.7 102.3 100.9 102.8 100.5 99.0 Old Series Base Year.7 285.6 99.0 100.7 102.8 100.5 99.8 352.6 170. CULTURE OTHER GOODS AND SERVICES 2009 Dec 2010 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 100.5 10.5 99.0 100. RECR.0 100.0 100.3 -0.4 200.1 109.5 101.2 101.9 99.1 102.7 100.5 100.2 104.7 261.0 100.4 99.2 101.1 102.1 102.6 304.7 173.4 99.7 99.0 232.0 100.3 286.3 206.0 100.8 101.APPENDIX IV CONSUMER PRICE INDEX – NEW SERIES GROUP ALL ITEMS FOOD (incl.4 102.7 0.9 99.2 99.3 100.8 101.3 100.3 99.9 84.8 101.4 66.8 102.6 100.8 102.0 100.7 287.0 100.3 292.6 100.4 165.5 235.1 103.0 101.8 99.6 100.5 106.9 99.9 98.0 4.7 99.4 75.9 99.6 99.3 101.0 2.0 104.3 100.2 104.DEC st 210.0 100.4 100.4 102. Alcoholic Beverages) CLOTHING FOOTWEAR HOUSING FURNITURE TRANSPORT & COMMUNICATION MEDICAL & PERSONAL CARE EDUCATION.5 100.2 86.4 66.8 104.0 104.3 144.6 98.1 100.4 100.9 100.5 99.5 100.9 102.0 100.0 100.5 110.5 273.0 100. SERVICE MISC.2 99.4 -0.8 4.0 100.3 100.9 98.5 277.0 100.7 100.3 99.9 285.2 285.4 103.6 98.0 OLD SERIES CONCLUDED AT 31st DECEMBER 2009 GROUP ALL ITEMS FOOD CLOTHING FOOTWEAR AND REPAIRS HOUSING FURNITURE TRANSPORT & COMMUNICATION MEDICAL & PERSONAL CARE EDUC.6 101.2 212.7 102.0 100.5 100.2 252.4 102. AND CULTL.4 102.6 215.3 99. Dec 1994=100 New Series Base Year.6 99. GOODS & SERVICES 2005 DEC 2006 DEC 2007 DEC 2008 DEC 2009 DEC NEW SERIES COMMENCED 1 JANUARY 2010 2009 DEC 2010 DEC % Change DEC .3 100.3 101.9 250.0 100.7 108..1 102.4 228.8 73.0 100.6 75.1 75.6 100.9 98.0 100.0 100.5 -0.1 100.2 100.6 99.0 100.0 105.2 290.9 100.9 282.5 101.6 99.0 105.6 101.8 1.6 161.6 265.0 99.1 209.0 100.3 99.2 101.5 100.7 78.4 100.5 110.5 99.4 100.3 99.3 100.0 102.2 104.4 270.6 273.0 100.7 101.6 275.8 101.4 148.9 296.6 101.0 242.5 168.0 102.2 100.9 102.9 99.9 293. Dec 2009=100 Source: Bureau of Statistics 68 Budget Speech Appendices .3 100.5 109. RECREATION.7 80.6 99.
3 378.4 177.4 48.6) 891.0 44.6 454.) 1.9 (0.1 Disbursements 2.6) (411.6) 64.2 (42.0 24.b.1) 299.1 Bauxite 1.9) (34.1.00 3.3) (20.0 (52.4 123.o.2 392.2 218.) 1.5) 259.0 Merchandise (Net) 1.8 27.0 37.0 (52.5 (1.2.0 213.1 207.8 370.8) 370.5 33.1 Exports (f.0) (135.1.6) - 2.4 341.6 Other 1.0 2.2) (449.3 Rice 1.0) (12.0 310.0 20.0 113.1.2 Balance of Payments Support 3.1.APPENDIX V BALANCE OF PAYMENTS ANALYTIC SUMMARY ITEM A Current Account ACTUAL 2009 BUDGET 2010 REVISED 2010 BUDGET 2011 (230.6) 776.exports 1.0 Services (Net) 2.7 (0.5) (239.3 Other 2.7) 168.0 15.539.2 Imports (c.4 34.5 29.0 4.7 41.5) 922.8) (385.4) 37.023.1 Debt Relief 3.7) (882.7) (119.0 B '1.3) 310.0) 69 Figures: US$m Source: Ministry of Finance Bureau of Statistics and Bank of Guyana Budget Speech Appendices .4 (24.6 99.5 119.7) 92.3 127.7 Re .f.0) (324.7 (0.Financial Public Sector Capital (Net) 2.5 122.2 Non Factor (Net) Transfers 3.1.6 346.1 299.4 (234.5 52.2 Private Sector (Net) 3.8) (442.1 90.0 Short Term Capital Errors and Ommissions OVERALL BALANCE Financing Bank of Guyana net foreign assets Change in Non-Financial Public Sector Arrears Exceptional Financing 3.5 (59.4 (35.089.5 208.4) (296.7) (1.4 120.0 234.0 (11.3 (1.1.5 94.0 154.3 34.417.4) 47.2 Amortization 2.2 11.8 114.1 Non .2 (35.1) (1.0) (111.9) 1.2 Private Capital Account Capital Transfers Medium and Long Term Capital (Net) 2.5) (147.0) (895.6) (616.4) (74.0 120.7 13.6) (84.1 (128.0) (525.6 142.4 Debt Stock Restructuring 38.0 11.5 Timber 1.9) (49.3 410.9 114.3) 11.179.0) 12.2) (263.0) (16.8 325.3 (36.8 89.219.6) 50.0 125.1 281.2.9 135.4 Gold 1.9) (102.9 184.3 Debt Forgiveness 3.5 (1.3 90.4 138.3 39.0 252.0 '3.4 4.0) 378.7 37.0 15.1.0 11.2 79.1 Fuel & Lubricants 1.0 C D E 1.0) 0.1.0) (131.5 (1.2 13.6 257.1.i.7 425.5 280.2 Sugar 1.6 299.9) 0.1.1 Factor 2.0 '2.0 (1.4) (271.7) (394.2 Other 768.8 (96.0 24.6 104.1 Official 3.1 (0.5) 3.
00 0.43 51.00 43.12 133.41 6.35 0.00 9.00 0.82 13.00 46.44 130.00 0.63 187.65 9.00 0.91 0.34 130.00 0.01 0.42 7.51 0. 5/ Includes ITT.91 44.00 0.00 0.09 0.27 0.44 7.96 0.1 Suppliers 5/ 3.49 40.31 41.25 20.91 0. Figures: US$m Source: Ministry of Finance 70 Budget Speech Appendices .87 3. Bonds.00 9.00 9.00 0.00 0.00 0.41 Actual End-December 2009 (After E-HIPC & MDRI Reduction) 1/ 933.10 55.12 7.OPEC FUND and IFC Loans.68 20.03 0.99 31. Caterpillar Americas.38 Preliminary End-December 2010 (After E-HIPC & MDRI Reduction) 1/ 1.10 58.68 38.32 472.78 0.13 4.83 13.00 0.21 248.00 0.80 31.00 0.31 0.71 259.00 0.00 0.00 0.10 9.41 27. Panama) and EPDS debts.00 0.98 31.01 634.86 0.01 1.99 0.37 21.49 6.93 38.00 0.22 0.91 0.00 20.00 0.00 49.00 0.04 0.88 588.20 73.22 54.00 0.36 0.04 12.96 0.00 320.54 0. Nissho Iwai/Komatsu.90 130.63 32.52 12.0 Private Creditors 3.28 4.00 0.04 536.42 49.1 Paris Club Creditors: USA -PL 480 UK Canada Germany -KFW Netherlands Denmark Norway Sweden France Japan T&T Russian Federation Italy Others 3/ 2.0 Multilateral IBRD IDA IADB CDB CMCF IMF IFAD Others 2/ 2.18 9.00 283.00 4.00 9.44 143.07 21.28 4.10 38.51 61.63 31.00 0.20 402.72 109. 4/ Includes DPRK.0 Bilateral 2.77 191. 6/ Includes Booker plc.00 484.32 6. Bulguria and Serbia (ex-Yugoslavia) Loans.00 0.10 60.042.188.00 0.00 0. EIB. GPL (NBIC/RBTT Debenture) and Barclays Bank debts.2 Non-Paris Club Creditors: Venezuela Argentina Kuwait Libya China India UAE Others 3/ 3. 2/ Includes EEC.00 0.17 62.00 0.24 30.00 47.08 7. Bank of Nova Scotia.00 0.33 6.98 533. Lloyds Bank.90 9.05 13.91 1.80 0.APPENDIX VI ACTUAL AND PROJECTED EXTERNAL DEBT STOCK Actual End-December 2008 (After E-HIPC & MDRI Reduction) 1/ TOTAL EXTERNAL DEBT 1.19 69.08 375.00 0.44 34.07 340. Boskalis.85 65. GPL (Banco de Credito.95 Preliminary End-December 2011 (After E-HIPC & MDRI Reduction) 1/ 1.00 5.63 56.56 ITEM Notes: 1/ Takes into account debt relief granted under the Enhanced HIPC initiative and the Multilateral Debt Relief initiative.28 4.00 0.00 0. Brazil.00 382.22 0.00 0.41 316.00 51.39 0.55 20.00 0.42 40.2 Financial Markets/Bonds 6/ 834.00 0.74 3.69 12.96 434.36 13.00 0. 3/ Includes CDC Loans.87 0.77 20.61 13.
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